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

To: Don Westermeyer who wrote (1174)	1/12/1998 3:02:00 PM
From: zTrader_77	Read Replies (1) \| Respond to of 164687

1/9/98 3:55 pm. INITIATING COVERAGE OF AMAZON.COM (AMZN 51**) WITH AVOID RECOMMENDATION. Although leading online bookseller should see continuing strong sales pace, recent growth rates not sustainable long term. AMZN's narrow gross margins, expanding investment needs require much higher revenue base to reach profitability. Expect profits eventually but expanding losses in near term. Despite market's current zeal for online stocks, our opinion tempered by AMZN's rich valuation at 38X book value and 11X estimated '97 sales, vs. average valuations of 5X book, 1X sales for peers Borders and Barnes & Noble. -- Standard & Poor's Equity Analyst W. Donald