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

To: Jay k. who wrote (29158)	12/7/1998 1:22:00 AM
From: jach	Read Replies (1) \| Respond to of 164684

Tons of insiders sold out according to WSJ last week. Why would one hold on to these over-inflated stocks when the insiders are running away from them. All imo.

To: Jay k. who wrote (29158)	12/7/1998 2:03:00 AM
From: jach	Read Replies (1) \| Respond to of 164684

WHY AMZN is a 10$ STOCK? Here is the mathematical proof: AMZN this year earnings = negative (lost money) AMZN 1999 earnings = negative (going to lose money, a lot) So, will generously give AMZN yr 2000 earnings of 17c. AMZN business is no different from other retailers such as Safeway, Walmart and Home Depot. The typical PE is between 20 to 30. So, will agian generously give 30 PE to AMZN year 2000 earnings. The stock price for AMZN at year 2000 is 17c x 30 = $5.10. Look at Costco, that's a real company making great profits. Based on next year earninsg for costco of $2.60, the 1999 PE is around 25. quote.yahoo.com So, giving 10$ price valuation to AMZN is in fact too much. All imo.