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: Mark Fowler who wrote (8413)	7/1/1998 10:28:00 PM
From: tonyt	Read Replies (1) \| Respond to of 164684

...and those companies don't sell books!

To: Mark Fowler who wrote (8413)	7/1/1998 10:40:00 PM
From: Gary Korn	Read Replies (1) \| Respond to of 164684

those stocks you mentioned have gone through their hyper growth stage. As the base of a company expands, so growth slows. Mark, None of the companies I mentioned -- builders of the internet then and now -- experienced the kind of daily blow-outs for weeks running that AMZN is seeing, even in their "hyper growth stage." ASND did get ahead of itself in 1997, running all the way up to 80ish before rapidly deflating to almost 20 by year end. (At year end 1997, ASND -- with sales approaching $1B -- had a market cap of $4B...50% less than AMZN's current market cap). On reflection, I guess you could say that ASND should be given less of a multiple because it sells hardware, and hardware always gets discounted multiples. On the other hand, AMZN sells books and CDs, and the traditional book multiple of market cap to sells is less than 1 to 1. On further reflection, my logic can't be right, because just look at AMZN today...a 14% increase in share price, just after it already more than doubled in a month. Gary Korn