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

To: llamaphlegm who wrote (11054)	7/21/1998 2:31:00 PM
From: llamaphlegm	Read Replies (1) \| Respond to of 164684

Tuesday July 21, 1:53 pm Eastern Time TALKING POINT/Internet fund managers cautious By Huw Jones NEW YORK, July 21 (Reuters) - As Internet stocks soar on the seemingly unlimited fuel of investor enthusiasm, seasoned fund managers are growing more cautious with each passing day of double-digit price gains. Internet stocks were surging again on Tuesday, led by Mindspring Enterprises Inc. (MSPG - news), up 19-5/16 to 136, a day after Internet bookseller Amazon.com Inc. (AMZN - news) surged nearly 18 points. ''We have gone into the realm of high speculation,'' said Lawrence York, lead portfolio manager at WWW Internet Fund. Market capitalization of many Internet companies now rivals that of long-established brand names, with valuations at lofty levels despite the dearth of profits in the sector. ''We have had an incredible run for most of this year, which is clearly unsustainable at this pace,'' said Ryan Jacob, portfolio manager of the Internet Fund. All three funds, with assets of $2 million to $45 million, are minnows compared with giants like Fidelity, but they have been around for about two years, making them veterans in the emerging world of Internet equities. Returns on the funds this year have been in double-digits and have easily outpaced leading stock indices. York describes the publicly traded Internet companies as adolescents, and counseled investors to avoid being seduced by their youth. ''A whole class has gone public before their time -- they don't have positive cash flows, earnings and so on. They are the type of companies venture capital would keep under their breast for a number of years and it's the general public that's putting up the money to test these companies,'' York said.