Amazon.com Inc. Message Board
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nemesis, aren't you being a bit optimis
tic? I am not a long or a short. I just heard
there was a battle going on about AMZN. Lots of talk
lately as to whether they can turn a profit. I think
they can. But, my problem is once they make a profit
then you have to consider P/E. Because you have to
compare them somehow! Do the math, AMZN is overvalued.
Let's look at it this way. AMZN is happy because they
made $1,315,000,000 in revenues in the last 9 months.
WMT (this is brick and mortar) made $3,660,000,000 IN
EARNINGS in the last 9 months!! In other words, WMT could
have bought all the products AMZN sold with their
profits three times over! If you think WMT isn't gonna
eat some of AMZN cake you got another thing coming.
WMT has enough cash to cut prices to bare bone to get
market share when the time is right. We have to be
realistic AMZN may be huge someday, but they are on a tier
below some of their competitors right now in the
overall retail sector. WMT could prove to be the
immovable object that somehow beats the irresistable force.
These are just my opinions.-
Amazon will just go up and up and up forever and ever!
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I think it is interesting the only two posters
who chimed in response to the previous post in are a
current and a past Wal-Mart stalwart.
I don't find
Amazon over-valued. Not when I consider how much growth
potential is there both in product categories and online
market share.
If you were really convinced in
your own cock and bull story about valuations you'd
load the boat on a short position instead of yapping
from the sidelines. Your doubts (in taking that
position) prove to me the bullish arguement that the
skeptics don't really know what they are talking
about.
If you don't like the valuations, that is no
problem. Just go away. You are not needed.- 1 Reply to Nemesis_editor
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I am convinced that AMZN is overvalued but I
don't believe in shorting stocks(it's a philisophical
question with me). In addition, just because a stock is
overvalued doesn't mean the price will go down in the near
term. I'm talking about long term(years, not months).
In the near term the stock could very well go up.
But, I appreciate your great information packed reply.
(that's called sarcasm by the way). You know, you may not
agree with me but that's no reason to be insulting. I
do find it interesting (and frankly quite scary)
that people like can choose to ignore all the
fundamentals. Don't get me wrong I have stock in companies that
are overvalued, but their earnings are growing and
they have patentable products(which is a good point
someone else here brought up). Companies with patentable
products are much more difficult to displace from a
position of power, I think. Once again, these are just my
opinions.
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have to put all his "editing" skills to work to
spin your post. You point out that WMT could have
easily bought everything AMZN sold last year with it's
profits alone 3 times over. Nemesis will have to dig deep
to spin this issue. Also, you say that you're pretty
sure AMZN will in fact become profitable but even so,
if you read my last post to nem you will see that
even with generous profits, AMZN is still a $30 stock
years out from now. Overexhuberance rules the day for
shareholders like Nem. -
eom
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should make for an intersting xmas 2000
- 1 Reply to theloniousspheremonk
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rance anyway. Hell, why not make it $500 by springtime when all the TULIPS show up?
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