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Technology Stocks : eBay - Superb Internet Business Model -- Ignore unavailable to you. Want to Upgrade?

To: robert duke who wrote (1117)	12/18/1998 9:56:00 AM
From: Steve Smith	Respond to of 7772

EBAY is incredible. I wouldn't be surprised if they announce a 3 for 1 split sometime in the future to justify a $300 price. steve

To: robert duke who wrote (1117)	12/18/1998 10:19:00 AM
From: Stewart Elliot	Respond to of 7772

EBAY is going up only because there are not enough shares in the public float. Most inexperienced investors do not understand this fact, and are investing in the next "hot" stock. The shorts are getting hammered with margin calls, and this just perpetuates the continued upswing. It all ends, but in the meantime, a lot of retail investors think they're pretty smart. EBAY is an online garage sale - great market, there's no doubt about it. But, the market potential just isn't there. Most people will not buy used merchandise they can not examine before buying. There will be a limit to the size of the market. So, what's this thing really worth. Probably about $25/share. Maybe. But the internet is more about perception than reality, and that will probably keep the price somewhere between $75-100, and alot lower if growth slows. $250? I really feel sorry for the investors who are loading up at these levels. They will learn a very harsh lesson about buying on hype. Companies like AOL, AMZN & YHOO will likely remain in the stratosphere for the foreseeable future. They are seen by so many millions on a daily basis, and this creates a constant investor base. Would I buy them? No. But it wouldn't surprise me to see them keep going up. But they are worth maybe 20% of their current prices under normal market conditions. In the meantime, hype reigns, so you don't want to get in front of this speeding train.