Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : America On-Line: will it survive ...? -- Ignore unavailable to you. Want to Upgrade?

To: Eric Klein who wrote (8263)	2/25/1998 2:59:00 PM
From: SJSharky	Read Replies (3) \| Respond to of 13594

The intrinsic value of a company comes from it's earnings. Agree, but the market value of a company comes from how much future earnings potential it has. IF they can achieve the type of profit growth the street is expecting, then I believe the current valuation is justified. However, I don't believe you can continue to grow that type of advertising $$$ quarter on quarter which is what they need to achieve their revenue targets for the next year. The accounting games don't really worry me because, let's face it, every company does it. So AOL may bend the rules a little more...in the end, it all catches up with you. Right now, I'm not going to mess with this monster as the street could drive it up to 150 before it tumbles. --Ryan