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To: Sarmad Y. Hermiz who wrote (50339)	4/14/1999 5:52:00 PM
From: KeepItSimple	Read Replies (2) \| Respond to of 164684

> How about absurd valuations reaching the height of absurdity ? Just as there was no rational reason for these flying pigs to take off, there will be no rational reason evident when they crash to earth. The whole ridiculous "internet mania" will become self-evident in hindsight: it was merely a collective break in the sanity of hundreds of thousands of "investors" who have no concept of economics or business operations. They'll lose 95% of their investment, if not more. Sorry, but that is how all stock manias end.

To: Sarmad Y. Hermiz who wrote (50339)	4/14/1999 8:40:00 PM
From: Greater Fool	Read Replies (1) \| Respond to of 164684

How about absurd valuations reaching the height of absurdity ? But how absurd? By pure fundamental valuations, I think Yahoo was overvalued at about a $billion. When it goes to $40B, what's stopping it from going to $100B? $200B? $Infinity? Nothing except the available wealth. That's the only limit. As long as people believe in the "internet magic" as HG put it, the price can rise essentially forever. The price will go down when people stop believing or ... when the price starts going down. The prices will come down with dilution. To counterbalance that, there are an awful lot of pagans out there yet to be converted to the internet religion. And Yahoo and Amazon will be their first picks, as first points of contact and as relatively safe havens in the turmoil of internet stocks.