I totally agree with the low margin statement. This company is to internet shoppers what Walmart is to real world shoppers. Even with their tax free advantage and less overhead their margin is lower than WMT's 5%. Yet WMT is trading less than 0.5 x sales while this POS is trading at 1.5 x next year's sales ... UNBELIEVABLE !! Sooner or later this will be treated like any other low margin retailer and trades at a small fraction of sales... the question is not if but when .. that could be a looong time for shorties when you have a maniac at the Fed Reserve printing phoney money 24/7
Wrong. Margins tripled in a single quarter before and the reason had nothing to do with any of the expenses you just mentioned. You haven't done any due diligence it is easy to see. Do you even know what it was (which line item) that caused that tripling of margins?
1. I'm talking about macro long term margin not blips from one quarter to the next 2. Enlighten me as to how margin will expand on a sustained basis? And don't give me the pat answer that they don't have physical store fronts therefore margin will be higher as a result. We know the mix fulfillment, infrastructure, optimization and shipping expenses equate to other retail models.