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

To: John Donahoe who wrote (42104)	2/23/1999 9:56:00 PM
From: Glenn D. Rudolph	Read Replies (2) \| Respond to of 164684

Lets see, they did about $610M last year. I would like to see them do something greater than $2000M in 99 and add at least 6M new customer accounts. John, Do you believe that is likely? Glenn

To: John Donahoe who wrote (42104)	2/24/1999 12:39:00 PM
From: Rob S.	Read Replies (1) \| Respond to of 164684

That would be nice. Let's take your numbers for granted - I think they are much too high but we can use them. So does that mean that the stock is worth $10 billion MORE in valuation? Isn't that kind of increase that speculators have in mind? If not, what is your target for the stock? Let's take your numbers and see what they mean: At what gross margin do you think the $2 billion number will churned? Bezos and Covey have cautioned analysts not to expect much reduction in operating and marketing costs per sales. But lets say they go down and that net losses, instead of being 18%-20% of sales are reduced to only 10% of sales. I think that's being pretty darn generous but what the heck - there is so much room to give in the analysis. What's 10% on $2 billion in sales? My, that's only $200 million in losses off the bottom line. With interest and warrants, that only makes the chance of eventual profits that much more challenging. A few more years of this great growth in customers will make Amazon a $20 billion company and worth every penny of the CURRENT market cap. Sure it will dillute the shares in float and reduce earnings per share because of debt payments, but Amazon investors have decades to worry about that. Amazon's many green haired warehouse clerks are sure to work hard to pay off this debt during the next century.