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


To: Rob S. who wrote (42490)2/25/1999 11:41:00 AM
From: Sarmad Y. Hermiz  Read Replies (2) | Respond to of 164684
 
Rob,

<<Still, the DrugStore.com acquisition makes sense for Amazongonenutty.com - they must diversify into more protectable sectors or they will be relegated to razor thin margins that will become indicative of commodity Internet sales.
<<

I must beg to differ with you. This investment is very bad for amzn stock price (though it is good for amzn business).

amzn stock is priced as though they have a license to print money. This kind of acquisition puts then in the real world of inventory, warehouses, spoilage, and all the real world concerns of retailing. When people realize there is no way to exceed normal retail margins, they will walk away from the stock in disgust.