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

To: sea_biscuit who wrote (41303)	2/20/1999 12:07:00 AM
From: KeepItSimple	Read Replies (1) \| Respond to of 164684

>looking at the PSR (price/sales ratios) of AMZN Who was the genius that came up with PSR as a legitimate measurement of a company's value? It simply has nothing to do whatsoever with the long term viability of a business. It has EVERYTHING to do with spending and incurring debt. That's all. Look, let me explain. Pick any industry. Any industry at all. Start a company in that industry on day 1. Now, give me 1 billion in cash to burn through. I have no intention of making a profit so I will simply use the cash to subsidize my "giving away" of a product or service. My marketshare will increase and increase and my sales will climb. But I won't be making any money. In fact, I am not running a business at all. I am simply redistributing wealth- from investors to the customers. So in the end, when you buy a book from Amazon, around 20% of the cost came directly from the pocket of someone who bought AMZN junk bonds or debt. Doesn't this amaze anyone?