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

To: Tie Zeng who wrote (3892)	5/4/1998 7:04:00 AM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

I am not sure if the "big boys" can put AMZN out of business in a long long time. As someone pointed out, AMZN's market cap is close to B&N. Take advantage of this wisely, AMZN will have lots of money to last a long while even if they keep losing money on their business. Tie, I really doubt the market cap of AMZN will remain high. Comparing it to AOL is different since we do have a large difference in barriers to entry. Poeple don't buy more books because of the online bookstores. But online book sales are growing very fast. The other way to say it is the retail stores are losing sales rapidly. Sooner or later, some of the retail stores have to be closed. We are going to need to see the numbers from BKS for all of 1998 before I would agree store sales are dropping. Glenn

To: Tie Zeng who wrote (3892)	5/4/1998 7:34:00 AM
From: Winter	Read Replies (2) \| Respond to of 164684

>>As someone pointed out, AMZN's market cap is close to B&N. Take advantage of this wisely, AMZN will have lots of money to last a long while even if they keep losing money on their business.<< Tie, please excuse me if I misinterpreted you, but AMZN's huge market cap does not provide cash for them to run their business. The only way they could take advantage of their stock price is if they floated another offering (which would cause the stk price to sink) or if they started buying other companies with their stock (which seems unlikely).