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


To: Glenn D. Rudolph who wrote (119154)3/3/2001 2:19:18 PM
From: Alomex  Read Replies (2) | Respond to of 164684
 
I have just finished running some projection based on Amazon's SEC fillings... At the current rate, they will reach Q4 with about $5-10 million in cash (after accounts payable).

With the right combination of another round of cuts and small price increases (1-3% across the board) plus a short term line of credit AMZN could reach Q4 with $200million in cash.

Moreover the actual cash burn rate in that quarter would be close to zero. This could encourage the market to extend them another loan with Amazon reaching true profitability in 2003 (of about $0.10-0.30 per share) for a price per share of $3-9 assuming a P/E ratio of 30...