Also consider shorting companies whose products you dislike or no longer use. I did that with RIM (i think its called Blackberry now) cause i dumped my blackberry phone (years ago).
Is Amazon a Fad?
- Thread starter HeSaidSheSaid
- Start date
Peterffy.
you made a freudian slip. the stock and Peterffy's wealth flew up from 13.
fad or not, AMZN stock is parabolic
this always ends in crashes down the line
this always ends in crashes down the line
AMZN is to "retailing" (regardless of whether online or not)... what WalMart was 30-50 years ago.
Definitely not a "passing fad".
Only difference is that when people started getting really excited about Wal-Mart stock (mid-1980s) the market cap was MUCH smaller than the largest companies in the market at the time (unlike Amazon), and WMT "only" traded at 30-40x earnings during its most euphoric periods (unlike Amazon that trades at 180x earnings).
Thinking that shareholders who buy AMZN at today's levels will do as well as WMT shareholders who bought during 1980s levels is too optimistic in my opinion. Also interesting to note that WMT has had three declines in shareprice where top-tick buyers lost 80% of their money prior to rebounds.
I'm more likely to trade hungover than drunk (unless last night was particularly rough--then it's 'still' rather than 'already').beerntrading - I read a article a long time ago. it featured a guy who day traded drunk. believe it or not he made money[being drunk made him fearless]. If I have time I'll look it up for you.
I understand how that would increase your risk tolerance, but I know me, and that wouldn't be a winning combination. I have a tendency to pull the trigger too soon on trades before I take in all my research into it--and those trades are losers about 60% of the time. Adding booze into the mix strikes me as a risk that exceeds my historical margin of return.
I'd be interested if you find the article though.
Are you comparing a drunk day trader making $ to Amazon? Moses smell the roses!AWS wouldn't stay on top for long. pretty soon MSFT, ORCL are going to eat AMZN 's lunch. they will use their in house technologies to outcompete with Amazon AWS. AMZN will force to pay premium for the technologies. AMZN is not going to invest million of dollars to re-invent the wheel (the IT technologies).
there's no uniqueness about AMZN business. it seems almost everyone could replicate. I think Sears and Target, JP Penney have been managed by dinosaurs.
beerntrading - I read a article a long time ago. it featured a guy who day traded drunk. believe it or not he made money