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

To: Don Westermeyer who wrote (1552)	2/11/1998 6:41:00 PM
From: Alomex	Read Replies (1) \| Respond to of 164684

There are differences - YHOO is a low revenue, high margin business (at least profitable), AMZN is a high revenue, very low margin business. Good point. I think Amazon will have profit margins of 4 or 5%, no more. Back when this thread started people were talking of 10-20% and I said 6% tops (i.e. double B&N or Borders'). Now people at the Fool boards have toned down their estimates closer to 6 to 7% figure. Most people believe Yahoo will be high margin. I disagree. IMHO the only way to attract viewers is to provide quality content. This is darn hard and thus expensive. I do think Yahoo will eventually post solid profits, but I doubt they'll see margins above 20-30% (some bulls there were talking 80-90% not so long ago).