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

To: Skeeter Bug who wrote (44442)	3/8/1999 12:02:00 PM
From: Rob S.	Read Replies (2) \| Respond to of 164684

I have heard conflicting rumors about Amazon's and DrugStore.com's sales. TheStreet.com had some rumors that Amazon's sales were running below expectations and that analysts have been warned. But I have also heard that drugstore.com's sales are robust. That should take a lot of the heat off of Amazon for a drop in sales momentum. But then again, druggy's sales hasn't helped the Amazing one yet. I suspect that DrugStore.com will be able to report sales figures that place it at the top of the new category of e-tail. The ANALS will be able to report: "Once again Amazon proves that they can extend their reach into new products and capture a leadership position". That will likely be true and could be taken as a nice excuse to push the stock another multiple past the value of Sears or Wal-Mart. The failure of Amazon to rally is potentially very bearish. It shows a lack of willingness to speculate on future advances even with all the favorable signs coming from other Internet stocks and the economy. Significant news (or the perception) could trigger this stock either way. Since "good" news seems to be discounted, Amazon is vulnerable to upset. Most of the leaders in the sector have pulled up after a previous sharp decline. I think that this has been a technical rally with little convincing momentum. It's a set-up for further declines, IMO. This rally may continue for several more days but is likely to be modest by past comparison. <money flow slowing and debt up about 15%... watch out...> I don't think many investors are concerned about debt. Who cares if Amazon is so in debt that it will take a decade of earnings (if they ever achieve them) to pay them off? The mantra for AMZN, EBAY and others remains growth, growth, growth . . . it seems not to matter that debt is growing even faster than sales.