Amazon.com Inc. Message Board

YES!
Bought 6600 AH @102 TODAY BABY !
Unsettled Funds..Can't SELL Till 7/27
GO BABY GO !

S@P Comments :

AMZN continues to demonstrate the strength
and worldwide potential of its business model,
in our view. Continued investments in long-term
growth opportunities such as Amazon Prime,
seller platforms and digital media stores should
provide new sources of revenue over the next
few years. Longer term, we expect AMZN's initiatives
to result in continued strong sales results
and significant margin expansion, as it
leverages its leading brand name and position
as an Internet retailer.We consider AMZN a
best-in-class retailer that generates significant
free cash flow. While valuation remains a concern
to us, with the shares recently trading at
about 50X our 2010 EPS estimate, we think
AMZN's long-term growth potential offsets this.
ä Risks to our opinion and target price include a
double-dip recession, the potential for lowerthan-
projected revenues should growth initiatives
fail to live up to their potential, and unfavorable
currency impacts.
ä Our 12-month target price of $150 is based on
our discounted cash flow analysis, which assumes
a weighted average cost of capital of
10.5% and a terminal growth rate of 4%.