There is a major correction on the way in the net
sector - we will test our previous lows. Just another
opportunity to buy, however this stock will be hit hard
again. The fall should be a different story as long as
the y2k worries don't creep in to bad. 98 is the top
of the range for a while
Most net stocks are currently rise and fall on
inflation related news and numbers. Let's talk about P/E,
T/A, earnings, revenue after August 24th, shall we?
Given the Fed will shut their mouth then; Otherwise,
short EBAY when it hit $150's.
stockforfood, some arguments for you:
current P/E = 800, P/E based on IBES expected earnings in
2005 = 600! increasing debts, bankruptcy looming,
insiders selling massively, more competition, low-class
buyers like you.
IDC P/E = 3, insiders buying
massively, wireless patents and royalties from Nokia and
Motorola, no competition, smart money buying
Good luck, no hard feelings!
Personally, I'd like to see more shorts enter the
arena...Why? Because every time they do they get squeezed
The situation is very similiar to when the longs were
fishing for a bottom on this stock. They kept buying in,
only to see the stock price go down. They then sold,
making the share price plunge even further. The reverse
is now happening with the
Unfortunately, though, those "in the know" are already loading
up on this stock. (Perhaps a few large mutual funds,
providing the "icebergs" of capital that keep the stock
price buoyed). Bid prices outnumber ask prices at most
times during the day, which was the exact opposite of
what was happening when all the internets were
tanking. Demand is outstripping supply, and will probably
only get worse for the shorts. As the funds scoop up
more shares, the shares available decreases, shooting
the stock price up faster. Generally the funds will
not sell until "news" comes out. For example,
excellent earnings, or when they get the bugs worked out of
the system to a tolerable degree, etc.
ebay going through several stages. First, and
foremost, is to fix the system. Once that is done, they can
really grow. That is when you will see them adding more
local auctions besides L.A.- Which means more cars &
homes being auctioned via the internet - which means,
you guessed it - the earnings we've all been waiting
Once that area is nailed down, you may see more
advertising banners on ebay. With ebay being as unreliable as
it is, adding more banner advertising at this time
would only complicate matters and cause the system to
break down even more often. Besides, how can you tell a
prospective advertiser that you will display their banner
when the system is down so often?
I'd like to see a merger of Yahoo and Ebay. Ebay can
handle the auction side of things, whilst Yahoo could
handle banner advertising for this, the stickiest site
on earth, Ebay.
Just a few more "logical
I agree that some folks have been taking
advantage of the 10 day auction, and I have used it myself.
However, I find it hard enough waiting a week, let alone
10 days for the result of an auction. Therefore, I
don't think there are quite as many people using it as
you would think.
Now what would make ebay
really exciting would be if they allowed 1-day auctions.
Now that would be cool. Imagine, an antique dealer
needs money to pay the mall space rent. Solution - a
1-day auction of some of his better merchandise. He
gets his money within a week, life goes on, and the
rent gets paid.
Not only that, but there will
be more bargain hunters visiting the site as a
result of the 1-day auction (knowing that anything could
come up for auction any day at any price), thereby
making the site even stickier than it already
Finally, this will eliminate the hemming and hawing ebay
is doing over possibly having storefronts. Forget
the storefronts when a 1 day auction does the
Just a few "logical thoughts" of my own.
Those who didn't read my last prediction on
EBAY(post #58653), here it is
1- Aug 9-13 ranging from $79 - $95 due to shorts
2- Aug 16-20 ranging from $98 - $120
due to shorts are getting nervous and sideliners
start moving in as longs.
3- Aug 23-27 ranging from
$122 - $150's due to no matter what the FOMC meeting
outcome, uncertainty is over.
For the week Aug 9-13, my prediction range was $79 -
$95, actual range was $78.25 - $98.625, so far so good
(well, a touch off because I am a conservative
Let see how my prediction will turn out for the next