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 : VOLTAIRE'S PORCH-MODERATED -- Ignore unavailable to you. Want to Upgrade?

To: Boplicity who wrote (18219)	11/20/2000 6:22:19 PM
From: stockman_scott	Read Replies (1) \| Respond to of 65232

Comments on the Internet from Merrill Lynch's Paul Meeks: (He Runs a Multi-billion dollar technology Fund) <<...Meeks: Oh, I think you're in the midst of massive consolidation in the Internet space and I honestly believe that 80% of the companies that existed are going to go to zero. Now, when they go to zero, they may go to zero with a bankruptcy route, or else they might, if they're lucky, get taken out by one of the strong-get-stronger players. Now the 20% that remains -- that's why I'm actually still bullish on the Internet over time. The Internet is still a theme that's reshaping the world; nobody disputes that. After we get through the consolidation period, the massive shakeout, what are we, in the sixth inning, or something like that? Probably further along than you might think. Let's hope. Meeks: The ones that remain are going to be fantastic investments, in my opinion. Because think about it: Not only will they get bigger and stronger and then all of the scale benefits that we discussed before from the biggest fish, but also some of these companies have been hit by pricing pressure, by the weaker guys that were trying to be on a massive land grab and not care about profitability. So they brought a lot of pressure to the industry, which was bad for everybody's margins. Once those guys go away, the guys that remain are not only bigger and get the advantages of scale, but there's less pricing pressure on what they do, so they might even get an enhancement in their margins. So that's going to be great, but I can't give anybody near-term encouragement as to when this is all going to end, but I do think it's past the middle point, not to the seventh inning stretch, but I think maybe we're in the sixth, though we could have this continue for probably another year or so. >>

To: Boplicity who wrote (18219)	11/20/2000 6:55:21 PM
From: im a survivor	Read Replies (1) \| Respond to of 65232

<<LOL ZERO. >> Zero what?? No rally regardless?? Sheez, eventually sideline money has to come back...or maybe not...........

To: Boplicity who wrote (18219)	11/20/2000 7:32:39 PM
From: stockman_scott	Read Replies (1) \| Respond to of 65232

Greg: It's interesting that a couple of last year's Internet Blue Chips (both EBAY and AMZN) are WAY OFF their highs and down to valuations under $10 Billion. Who ever thought they would come back down to these levels...lol....Remember when Janus was loading up on both of them. I'll bet they have lightened up in a big way this fall. I can understand AMZN but EBAY has been profitable since it went public and has quite a track record of exceeding expectations. The market is looking for ANY reason to be pessimistic and question a company's ability to execute--especially on the sales growth side. I will stick with cash and move back into a few infrastructure stocks in the next few weeks. IMO, the high tech correction is almost over. Lets hope I'm right...;-) Best Regards, Scott