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: M. Frank Greiffenstein who wrote (21088)	10/10/1998 1:09:00 PM
From: IceShark	Read Replies (2) \| Respond to of 164684

Doc, The forbidden word is the settlement price that would yield the least payout by options sellers (smart and big money in theory). R is just the ratio. Do it in your head or take out a calculator. Lets you know which way the wind is blowing, and this is a contrary indicator in most minds. If everyone and their cousin are buying puts, the stock may very well rocket up. One difference this time around, there is substantial bad news for this POS, as in the Bertie news. So expect great movement next week. You should also bone up on what some option writers do when they sell and close. They sell shares short when they sell puts, and buy them back when they close. Mirror image on calls. Regards, IS

To: M. Frank Greiffenstein who wrote (21088)	10/10/1998 9:04:00 PM
From: umbro	Respond to of 164684

Could you explain to neophytes (such as myself) what Max Pain concept is? "Max. Pain" is a calculation popularized on these boards by Ben A. (https://www.siliconinvestor.com/profile.aspx?userid=3307095) and described here: pipeline.com Basically, The max. pain point is the place at which buyers of both calls and puts lose the most money. As Ben says, By looking at the price of the underlying issue, on the last trading day before option expiry, (Note: options officially expire the day after the third Friday of the month.) it has been seen, with statistical significance, that the closing stock price tends toward the option strike price that forces the greatest number of options to expire in a worthless condition. and your other question: And what does the R = 1.0 stand for? R is the put/call ratio. I calculate both the ratio of open interest on puts vs. calls, and the day's volume. Generally, put/call ratios on most stocks tend to be below 1.0, because there is a bullish bias (used to bo, anyway) to the market, and many people sell coered calls. Put/Call ratios above 2.0 and below 0.5 tend to be rather extreme, and a contrarian will tend to take the the other side once the ratios are too widely skewed.

To: M. Frank Greiffenstein who wrote (21088)	10/11/1998 3:56:00 PM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

AMAZON.COM (AMZN: $93.25)# 10/08/98 Consolidation in Online Retailing Earnings Per Share Old New P/E Ratios (FY:Dec.) 1999E $(1.37) $ NA 1998E (1.60) NA 1997A (0.49) NA Rating: BUY Change: None 12-Mo. Target: $175 We believe that AMZN is one of the great Internet investment stories over the next five years. That the Internet has become a viable retailing medium is largely due to Amazon's success at creating a "total value" commerce experience for consumers. This skill set, composed of branding, content development, backend technology, and fulfillment, separates it from every other Internet retailers; when combined with 3.14 million happily transacting customers, Amazon has a massive competitive barrier, not only in its native book market ($82 billion), but in any additional vertical category it chooses to enter. Unfortunately, AMZN is not likely to ever be a value play, even if it sells off on profit-taking and valuation confusion in the near term. Make no mistake, though: we believe the long-term trend for AMZN will be relentlessly positive. The following information is relevant to those companies whose ticker symbols are followed by one or more of the designations below: # AN AFFILIATE OF DONALDSON, LUFKIN & JENRETTE SECURITIES CORPORATION MAKES A MARKET IN THIS SECURITY, HAS PERIODIC POSITIONS IN THIS SECURITY IN CONNECTION WITH THIS ACTIVITY AND MAY BE ON THE OPPOSITE SIDE OF PUBLIC ORDERS EXECUTED ON A REGIONAL STOCK EXCHANGE WHERE IT ACTS AS A SPECIALIST. * DONALDSON, LUFKIN & JENRETTE SECURITIES CORPORATION OR AN AFFILIATE MAKES A MARKET IN THIS SECURITY AND HAS PERIODIC POSITIONS IN THIS SECURITY IN CONNECTION WITH THIS ACTIVITY. +WITHIN THE PAST THREE YEARS DONALDSON, LUFKIN & JENRETTE SECURITIES CORPORATION HAS BEEN A MANAGING OR CO-MANAGING UNDERWRITER OF THE COMPANY'S SECURITIES. ++ AN OFFICER, DIRECTOR OR EMPLOYEE OF DONALDSON, LUFKIN & JENRETTE SECURITIES CORPORATION OR AN AFFILIATE IS A DIRECTOR OF THIS CORPORATION. @ DONALDSON, LUFKIN & JENRETTE SECURITIES CORPORATION HAS FROM TIME TO TIME PROVIDED INVESTMENT BANKING SERVICES TO THE COMPANY AND HAS BEEN COMPENSATED FOR THOSE SERVICES.

To: M. Frank Greiffenstein who wrote (21088)	10/11/1998 6:07:00 PM
From: Glenn D. Rudolph	Respond to of 164684

Supremacists link Web site to paper PHILADELPHIA - Internet surfers attempting to see the Web site of The Philadelphia Inquirer got racist material instead this week if they used the logical but incorrect Web address "philadelphiainquirer.com." At least nine other newspapers suffered the same headache. Someone registered Internet addresses that included part or all of the newspapers' names, then linked those addresses to the "Stormfront" Internet site, a site that includes racist articles and links to other racist sites. Other affected newspapers include the Pittsburgh Post-Gazette, Chicago Sun-Times, Atlanta Constitution, Cleveland Plain Dealer and St. Louis Post-Dispatch.