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

To: jawd who wrote (5957)	6/14/1998 12:29:00 AM
From: Victor Lazlo	Respond to of 164684

" There's no way B&N can achieve the net recognition that Amazon has. B&N and the others are simply fighting for position #2." jawd, until AMZN starts making money, it is not even on the list, never mind #1, IMO. B&N is making money, but AMZN sure is taking market share from them. But as AMZN runs out of cash, it will be interesting (no pun intended) to see how much longer they can keep gushing the red ink and maintaining such a high market cap. It is quite possible they will never make a profit. Victor

To: jawd who wrote (5957)	6/14/1998 12:29:00 AM
From: slipnsip	Read Replies (3) \| Respond to of 164684

"There's no way B&N can achieve the net recognition that Amazon has. B&N and the others are simply fighting for position #2." The difference between Barns and AMZN is that Barnes is a viable business. They are not willing to spend themselves into bankruptcy advertising like crazy. AMZN has no choice but to try because their valuation is based not on earnings or profits, but on revenue growth. IMHO Barnes could be every bit as big in a very short order if they spent the same amount. But they don't need to or want to. IF they did, they would probably end up bankrupt right along side AMZN. At this point they apparently don't think risking the entire company on the same dream as AMZN. But then again as we discussed, AMZN has no choice. Gotta keep hyping the bubble for the current stock valuation is the only thing that will ever provide them with capital for continuing operations. Unfortunatly for the longs, this will mean dillution. Eventually the house of cards will fall. Who would sell a viable business to AMZN in exchange for AMZN stock? Rest assured, only those that plan to dump the stock on the open market in a very short order. No way would any company except a buyout with a clause saying they had to hold the stock for a year.. HEHE.. This again will eventually kill the stock by increasing the float as well as dilluting the earnings.. Not that it is quite the same, but I seem to remember another fast revenue growth company that decided to spend 100 million on advertising.. I think they promptly lost about 65% of their market cap as it became apparent that the revenue increases would not support the additional advertising. IOM. And they were actually making money at the time...