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.

Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: StockHawk who wrote (30763)	8/30/2000 7:33:29 PM
From: shamsaee	Respond to of 54805

I could not have said it better.Please Pm me on how you evaluate things if you don't mind.

To: StockHawk who wrote (30763)	8/30/2000 7:36:11 PM
From: Bruce Brown	Read Replies (2) \| Respond to of 54805

Thanks, StockHawk. You are correct, we have no disagreement. I just had to run to make sure any gain I had in eBay and Yahoo! hadn't disappeared. <ggg> It was interesting as Geoff was working on the revised manual, he discussed the Gorilla-King game at the time on the GG listserv digest. It was the obvious hot topic of choice in 1998/1999 and I believe Geoff promised a copy of the Internet chapter would be available to the list members. He provided a 'prize' for anyone who could come up with a better name than that of Gorilla-King. That's when the winning choice of "Godzilla" was selected. A free copy of the revised edition was won by the list member who suggested it. By the time all of this discussion on that listserv was taking place, America Online and CMGI had already made many millionaires - so the excitement and enthusiasm for the Internet based business model was compelling. eBay and DoubleClick were recent IPO's and received a lot of devoted attention in the discussions as well as other companies when they came public. Well, we know where that entire process led and what the results have been this year. However, the games are not over yet and the healthiest business models are indeed surviving while the market still continues to sort out and go through the lengthy process of how to value them. Analysts as well seem to have been struggling with a valuation model before, during and after the meltdown. Over the longer haul, it obviously will all get worked out as maturity of the companies and their business models become easier to get a 'handle' on for the investing community. I've followed America Online, CMGI, Yahoo!, Amazon, eBay and DoubleClick in the past two years. Curiously enough, my last post on the eWorld thread of Teflon's was on April 17th and nobody has cleared the dust off to make a post on that board since May 29th. No doubt interest waned on that board as the January to May 'action' hit, but that hasn't changed the 'godzilla games' that are going on in the space nor has it indicated that anything is 'over' by a long shot for some of the companies. The Godzilla is a model still in study. Yahoo!'s seems to be most attractive to study. Here are the returns for each company since their IPO's. America Online = 48,697% (1992 IPO) CMGI = 23,859% (1994 IPO) Yahoo! = 4,781% (1996 IPO) Amazon = 2,542% (1997 IPO) eBay = 714% (1998 IPO) DoubleClick = 396% (1998 IPO) It's interesting to compare the returns of some companies mentioned and followed on this board since their IPO's: Network Appliance = 5,679% (1995 IPO) Siebel = 4,742% (1996 IPO) Qualcomm = 3,795% (1992 IPO) i2 = 1,447% (1996 IPO) Brocade = 1,200% (1999 IPO) Juniper = 690% (1999 IPO) Sandisk = 653% (1995 IPO) Ariba = 494% (1999 IPO) Likewise, it will be interesting to see how the future treats both categories of investments to see how the viability of the internet based business model stands the test of time. Those that took the Rule Maker seminar know at least the balance sheet and income statement of Yahoo! inside out to see how it stacks up against the balance sheets and income statements of Cisco, Oracle and EMC. You may or may not be happy to know that the balance sheets and income statements of Cisco, Oracle, EMC, Siebel, Network Appliance, Brocade, i2, Intel, JDS Uniphase and Yahoo! look about as good as it gets - even though there's always room for improvement. BB