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

To: Glenn D. Rudolph who wrote (18944)	9/29/1998 9:31:00 AM
From: gizelle otero	Read Replies (3) \| Respond to of 164684

Some facts for all Amazon shareholders to consider: 1. Sales are slowing. Here are the figures from the last 5 quarters: 22.9 (+122%) 37.9 (+65%) 66.1 (+74.4%) 87.4 (+37.2%) 116.0 (+32.7%) Why are sales slowing? First, because of the numbers themselves. As Amazon gets bigger, it is harder to produce huge sales gains. For example, it is easier to go from selling 5 books to selling 10 books than it is to go from selling 1000 to 2000 books. Simple math. Second, competition. No matter how bad the competition may be, it it still growing. Barnes&Noble.com may not be as good, but they are still there and there are more competitors in the way. Third, Amazon is bumping up against the limits of the computer literate public who desire to buy books on-line. Not every one has a computer. Not everyone wants to buy a book on-line. 2. This business is not a Yahoo!, but it sure trades like one. Merrill Lynch has tried twice to warn their retail customers of this. Amazon is a retail business in a low margin sector (books), conducting business over the internet. Yahoo! is an internet portal. Not the same at all. 3. Who is in this stock? Why has it gone up so much? Why shouldn't I buy it and ride it to the top? All good questions. -- First, people are greedy. They see a stock go up and they buy it and hold it as long as the trend is up. The trend on AMZN is still up if it can go above $126/share again. I doubt it will, but that is not relevant. It is only my opinion, not a fact. retail investors like you and me and momentum "cowboys" own this stock. They do not know/care about the business model. -- Second, I believe that all who buy this stock know in their heart thatthey are only in it for the ride. They have their greedy little hands on the "sell button" all the way up. They are going to be partially responsible for Joe Bozo and his friends and family and the USA going into a depression. You know "Joe Bozo" is up to his ears in debt. He has a home equity loan. He has massive personal debt. The last thing in the world he should be doing is buying stocks like Amazon. But he picks up the morning paper and "Damn, honey! That Amazon stock is up AGAIN! We ought to buy some of it." So see if you can get out of this stock before Joe Bozo. You probably can.