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Strategies & Market Trends : Pump's daily trading recs, emphasis on short selling -- Ignore unavailable to you. Want to Upgrade?

To: allen menglin chen who wrote (499)	5/13/2001 8:44:47 PM
From: Tom Hua	Read Replies (3) \| Respond to of 6873

Great products and services doesn't transfer to good profits. AMZN provides great services, but could not make a penny in the past 5 yrs; and would not be profitable in the next 2 yrs. Allen, I love AMZN's service but I also have doubts about its future profitability potential. Bezos, however, is confident they will be profitable by the end of the year. We will see about that. Companies whose business models have no chance of turning a profit usually trade below its net cash value for the simple reason that the cash will eventually disappear. There's a thread on SI that identifies stocks that trade below cash, most if not all are POS. I see RRRR mentioned here as a good long stock. IMO, RRRR falls in the exact same category I just mentioned. Just take a look at its losses in the past 5 quarters: Dec 99, loss = $29.4 million Mar 00, loss = $33.0 million Jun 00, loss = $32.7 million Sep 00, loss = $35.6 million Dec 00, loss = $46.1 million Mar 01, losses = ? Will it ever make a dime? I highly doubt it. That's why it's been trading below cash. Regards, Tom