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

To: Chi Pan who wrote (4821)	5/28/1998 5:32:00 PM
From: Olu Emuleomo	Respond to of 164684

Candle stick, I would like to hear you and other bulls and bears comment on how high this AMZN run can go. It just has been upgraded this morning. As 'high' as $32 post-split ..... --Olu E.

To: Chi Pan who wrote (4821)	5/28/1998 5:33:00 PM
From: Candle stick	Read Replies (1) \| Respond to of 164684

I don't think AMZN has much of any chance at all of making new highs this year, Chi. I really believe the tops will be lower on each squeeze and eventually the whole house of cards will come tumbling down.....as for this mornings "upgrade", this is not what I consider an upgrade...it was really a major downgrade of earnings. Below is the whole report, not just the snippet on the news wires.... >>>Amazon.com (AMZN) 86 5/8: BA Robertson Stephens upgrades from "long-term attractive" to "buy" and raises its price target from $65 to $88 a share; believes there is upside to current EPS estimates and room to raise price target as the company demonstrates more revenue and customer growth and leverage on marketing expenses; lowers 1998 EPS from loss of $2.84 to loss of $3.05 and 1999 estimate from loss of $2.17 to loss of $2.35 a share, but ups year 2000 EPS from profit of $0.02 to $0.12 and 2001 from $1.30 to $1.75 a share.... <<< Now I ask you, with the next 2 years earnings (ahem...loss) estimates being lowered this significantly, how can you seriously call this an upgrade? In such a precarious market environment, with so much downside potential, are you really willing to pay 86 dollars (2 billion $) and wait 2 years, for a company with massive loss expectations for 2 years, increasing debtload, and serious competition coming into the market? Why? So that maybe it might make 10-12 cents in year 2000? Even if it does make the 12 cents with a generous 50 p/e that would make fair value of 6 dollars???!?!?! Seriously, I think there is NO upside other than sporadic short covering rallies.......good luck to you.......;^)