Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Glenn D. Rudolph who wrote (102342)	4/28/2000 10:33:00 AM
From: H James Morris	Respond to of 164684

The move to profitability. streetadvisor.com

To: Glenn D. Rudolph who wrote (102342)	4/28/2000 11:14:00 AM
From: Alomex	Read Replies (1) \| Respond to of 164684

I been writing in this forum on and off since its inception (see posting #25, May 1997). My line remained pretty much unchanged for these three years: this stock is richly valued, but should not be shorted. I stuck to that line until November of last year, when I decided that at long last this stock was ready to be shorted. Needless to say it took a lot of stomach fortitude to hold steady as the stock started climbing, and even more wits to double my short position at $95 (there were nights I couldn't sleep). I covered in mid January, following the rule that if returns ever exceed 400% (annualized) its time to pull out. Right now I have no position on Amazon, and the stock has fallen substantially since I covered the short. Yet, the latest quarter sales figures suggest that this is stock is still a good short. 30% growth per quarter is well behind us (in fact we are now at around 12%). As a retailer Amazon will settle in the longterm at a P/S of 1-1.5. At the current growth rate it will take over five years of flat stock price to reach that multiple... YMMV.