AMZNzing stock. Pullbacks are small, pops are bigger.
Amzn
- Thread starter pumpanddumper
- Start date
Come on. back it up with #s. This is an analyst/fund shell game, nothing else. As far as XOM - they actually make $$$ hand over fist, especially with their refinery margins so high. Of course their growth and earnings are completely determined by refinery margin, commodity costs, etc, so of course the multiple is smaller.
70 2008 PE is justified by 70% earnings growth. Next years' earnings estimates are at 27%. Even with 40% annualized growth over the next 5 years, at 1.25 earnings in 08, AMZN at best is worth 50 with that metric.
As nostalgiac as you are about 1999-2000, AMZN is not in the same situation as 1999-2000 - nowhere close.
you have to be kidding me... If this thing doesn't collapse soon on broker downgrades, it will at next earnings.
If AMZN deserves a 70 PE, then XOM should be at $160 right now, GOOG at $1000, etc. etc.
I agree bro. That being said, I'd say the $16 October Straddles you could buy at $80 right now are a sweet deal...it's either going to $100 or $40 and probably quickly so you could likely still unload both options with value. I don't have any free cash right now or I'd do it...this stock will certainly be $16 up or down from here in October. 
Looks like she may have finished running for now...a close under $70 wouldn't look so good.
yea. $10 in two days is a little much, don't you think?
Quote from scriabinop23:
yea. $10 in two days is a little much, don't you think?
Yup, that straddle would have been great right now...the volatility probably kicked up the price of both Calls and Puts in the last hour. Oh well...I'll watch for fun. Could be a great short if it climbs higher, I'd be happy to see it go higher now.
It's looking very tired though.
Quote from SiSePuede!:
Yup, that straddle would have been great right now...the volatility probably kicked up the price of both Calls and Puts in the last hour. Oh well...I'll watch for fun. Could be a great short if it climbs higher, I'd be happy to see it go higher now.
It's looking very tired though.
Make a plan. Enter here, 75, then 80. (puts? maybe not shorts) If technicals matter (which they likely don't ... not when you expect them to at least), this may be the top.
At these levels (actually avg is 70.60), I bought some puts and shorted some stock. Giving it another go. Price target still remains 50.
A lot of you guys are still thinking post-tech bubble and have these fantasies of P/E contraction. Now the P/Es are expanding once more and the 50's era method of valuation is being thrown into the waste basket. Amazon is a company that can execute and so it is rightfully rewarded with generous P/Es. Those companies that cant execute, small cap crap, are rewarded with these obnoxiously low P/Es.
We are now at a time once more where its time to throw out the old methods of valuation and to reconsider the way we look at stocks. Amazon will go to 100 in the weeks to come. You can buy your puts or short the stock, but you will only lose money and your pride.
In the new economy, Amazon is rightfully valued and for those who wish to fade or disbelieve will get run over by the train. Now lets all give a hand to Amazon one hundy!!!
We are now at a time once more where its time to throw out the old methods of valuation and to reconsider the way we look at stocks. Amazon will go to 100 in the weeks to come. You can buy your puts or short the stock, but you will only lose money and your pride.
In the new economy, Amazon is rightfully valued and for those who wish to fade or disbelieve will get run over by the train. Now lets all give a hand to Amazon one hundy!!!
Amazon has been in the dumper since 2003 so it was due for a solid rally. The market coundn't keep a lid on it. One day a surrpise earnings report that knocked everyones socks off and there was no looking back.
Sounds to me like you weren't even a tickle in pappy's sack in late 90's. what you just said was what all the idiots were screaming "The new economy". What a load of horseshit!!
Stock trading is a game to buy something and get someone else to pay you even more for it. What do you suppose will happen to this crap when consumer spending contracts?
What goes up must come down, like the laws of physics, what gets bought must get sold. All I have seen is a bunch of new economy guys buying.