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Strategies & Market Trends : Bill Wexler's Profits of DOOM -- Ignore unavailable to you. Want to Upgrade?

To: Ploni who wrote (2898)	9/19/1998 11:38:00 PM
From: Bill Wexler	Read Replies (2) \| Respond to of 4634

I covered ATHM a long time ago in the mid 30s. I have stayed away from shorting the internuts (with the exception of SPLN, which was being dumped by insiders and CBS). I still am not certain how to value ATHM at this time...and it's probably still way too early to short it.

To: Ploni who wrote (2898)	9/20/1998 11:26:00 PM
From: Hank	Read Replies (1) \| Respond to of 4634

Charles, I think you have to be patient with ATHM. Before the last drop, I shorted a little too soon at around 40. Then I watched as it climbed to 48. However, during the last severe market drop, I was able to cover for a tidy profit. Looks like I did the same thing this time by shorting at 34. The data shows that buying is drying up and I expect another drop very soon, probably into the low 20's. Of course, it could tick as high as 41-42 first but I don't think much higher. This is one of those stocks that you just have take incremental small short positions in with the understanding that it is extremely volatile. If you are patient, you will make money. Hank

To: Ploni who wrote (2898)	9/21/1998 11:00:00 AM
From: UFGator93	Respond to of 4634

I'm short ATHM as well. Although I'm currently losing money, I feel very confident that this one will head down eventually. The market cap of ATHM is around $4.4 billion right now with the latest 12 months of revenue at around 20 million . It's tough to find another stock with such a high valuation on such tiny revenues. The defenders of ATHM say that it will raise revenues considerably once it starts expanding its base. I think this will be a very slow process. Both for the difficulty in the infrastructure as well as the time it takes for customers to actually request the change from their existing service.