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Strategies & Market Trends : Roger's 1997 Short Picks -- Ignore unavailable to you. Want to Upgrade?

To: tcarnes who wrote (6942)	11/13/1997 6:54:00 AM
From: Pancho Villa	Read Replies (2) \| Respond to of 9285

TC: Yes there are risks involved in shorting AOL. Market seems to be a bit irrational but I just can't justify current valuation. No hope of making money under current 19.95 fix rate model, cable and local phone companies will slowdown if not erode customer base (thank gos as they probably have a negative margin on each customer they get!). I am still tempted. I think the market will trim some of these valuations significantly. The cash flow picture is not nice either, Cash flow from operations is negative [yes it does not look that way in the latest 10k but there aresome misleading items that could be argued are not part of ongoing operating cash flow. Why do we think they are issuing debt? Pancho Tempted to short on a rebound any thoughts?