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: jack rand who wrote (9681)	4/29/1998 9:45:00 PM
From: VLAD	Respond to of 13594

FWIW, I think much of the run up today was due to short covering. Every unreasonable 12 month target price has been surpased to this point. Does a twelve month target price of $100.00 mean that we will hit it in 2 months just like we hit the presplit 12 month target price of $150.00 in 2 months. AOL just doesn't have the fundamentals to support it's current valuations. The effects of competition will soon start to rear it's ugly head. IMO the Merill analyst did his tout because it's time for Merill to dump it's clients shares into this rally. This reminds me when last summer Merill's Kurlack gave his final tout on MU just so it would hit his target price allowing Merill clients to bail before the big drop. IMO AOL will see a gradual decline of it's subscriber base as the likes of ATT, MCI, SPRINT, etc get more and more involved in the business of getting new net subscribers. AOL is a bubble just waiting to explode. Nobody in his right mind would be buying into this ponzy scheme but I guess like the saying goes theres always a bigger fool ready to pay more so the smart guys can not be left holding the bag. I am shorting AOL tomorrow.