eBay + AMZN = the BIG tech bubble of 2008
Wednesday, July 25, 2007, 10:36 PM
Stocks by John
Earlier this week, I commented that the combined results of AMD and GOOG and how the market responded to them signaled this earnings season was the small tech bubble of 2007. Well, now that I've had a chance to digest EBAY and AMZN earnings, I can't help but say this: Here comes the big tech bubble of 2008.
What am I talking about? AMZN reported OK earnings that are considered simply amazing mostly because the earnings from tech stocks suck about as much as going to Sea World instead of a real amusement park. The stock jumped more than $10 and stayed there. Advertisements
I was about to unload EBAY, based on the popular "EBAY never goes any friggin where" theory when I noticed that some members of the chattering class were adopting an intriguing form of stupidity. They say: "EBAY has better earnings than Amazon.com and yet trades at half the price."
Ooooooh. I smell a bubble!!
It's hard to resist when some decent folks are proposing doubling your money for a reason only slightly better than the reasoning for their last useless handout. Sure, AMZN is great!!! Therefore, EBAY is super-duper and at a DISCOUNT to boot!
And apparently the disease infected the analysts since the last time I took a serious look-see. Check it out right here. Three new analysts have initiated. The high estimate is $46 and the mean target is $38.26!
Jinkies!
I think I might just have to stick around for the run-up on EBAY.
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