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

To: KeepItSimple who wrote (105339)	6/24/2000 5:27:00 AM
From: SLSUSMA	Read Replies (2) \| Respond to of 164684

If you feel so strongly about Bezos, I suggest you take it up with him or his attorneys. Maybe you can get some of your money back. Personally, I could care less how a CEO conducts his insider tracks as long as I profit from them. Buyer beware.

To: KeepItSimple who wrote (105339)	6/24/2000 1:52:00 PM
From: Randy Ellingson	Respond to of 164684

Crying wolf? Glenn and I have stated dozens of times that Amazon's business model is fatally flawed. The only reason they didnt go bankrupt sooner is because the capital markets seemed willing to give them another billion dollars to burn whenever Bezos stuck his hand out. As if they are going bankrupt (or already have, as you imply). Try thinking straight, and then carefully typing the words out after that. Amazon has not gone bankrupt as of today. Most people agree that they'll survive to the point where they next release an earnings report, next month. We'll have an up-to-date view of their cash flow then, eh? As for Bezos and his market interactions, you apparently have a problem with free markets. If you think Bezos has "played" unfairly, show me where he promises big gains to those who buy his stock. Show me where he says Amazon will bring riches to shareholders. His primary energy expenditures seem to be related to his passionately strong belief that he can make Amazon a huge (and successful) enterprise. Amazon.com is currently valued by the markets at almost $12B, and whether or not you understand this, that valuation is ascribed to it in a collective manner; both by intelligent, and shall we say, less intelligent people. By individual as well as institutional shareholders. By those who believe that it will bring them great riches, and by those like yourself who think it will go busto sooner rather than later. If KIS the businessman (who knows how to run a profitable business) ran an online "e-tailer" ... Oh no, that wouldn't really be possible since even the very best online-only e-tailers can't turn a profit selling merchandise to the people, right? And let's see. By your measure am I correct to assume you predict Amazon will land a year from now at a somewhat lower market cap? And then lower still another year after that? If so, is there some way you can profit in a big way from that knowledge? Will you? Or would you be worried that Bezos would find a new way to subsidize what you see as the negative margin scam? It's amazing that Bezos pulled off the scam for so long. That's about all. $11.9B, KIS. Of course you should bring it back at me when it drops to $6B and then to $3B and then to $0B. By which time the P/S will look quite good, you'd figure. It's been a while, so here's the latest market cap ratio, which shows a clear trend kicking in over the past six months. This must give Walmart a feeling of relief, now that the market believes a little less in the future viability of Amazon (and all of the pure etailers in general, if I'm not mistaken): AMZN/WMT (1999) March 02: 20.8B/191.6B = 0.11 March 26: 22.4B/203.6B = 0.11 April 07: 28.3B/216.8B = 0.13 May 11: 24.2B/198B = 0.12 May 24: 19.7B/185B = 0.11 June 14: 15.4B/185.2B = 0.08 July 19: 18.5B/200.0B = 0.09 August 31: 21.0B/197B = 0.11 October 9: 30.1B/246B = 0.12 December 2: 30.6B/255.0B = 0.12 June 23: 11.9B/240B = 0.05 And yeah, we have to assume the market is accounting for their wildly successful stakes in companies such as pets.com, drugstore.com, audible.com. (Kidding, sadly, but you have to admit they are proceeding with plans that fit with their vision of the e-tailing future.) Randy

To: KeepItSimple who wrote (105339)	6/24/2000 3:25:00 PM
From: Glenn D. Rudolph	Respond to of 164684

Oh yes, Bezos, a former HEDGE FUND MANAGER, paid no attention to the stock price of AMZN, nor tried to influence it through fraudulent accounting practices or blatant hyping in the press. Yeah right! He played the markets like a fiddle. KIS, Fulfillment is always placed in the cost of goods sold. Amazon did not place them where they belonged so they could publically state for many years they would be profitable if it had not been for marketing. Fulfillment was placed in the marketing category??? That is unheard of. Glenn

To: KeepItSimple who wrote (105339)	6/24/2000 3:39:00 PM
From: Glenn D. Rudolph	Respond to of 164684

The only thing that surprises any of the regulars on here is how long it took for the average investor to realize they were being taken for a ride. It's amazing that Bezos pulled off the scam for so long. That's about all. KIS, You are correct here. I never thought the equity markets would be so good to them for so long. I believed it placed me shock for a period of time. I never thought of trying to raise money off shore. That was came unexpectedly.