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11-26-2017, 07:45 AM
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#21
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Thinks s/he gets paid by the post
Join Date: May 2014
Location: Utrecht
Posts: 2,650
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Quote:
Originally Posted by Texas Proud
Not really.... a company is worth the discounted value of earnings... if a company has no earnings and has no prospect of any it is worth nothing...
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Small nitpick addendum: even with no earnings, a company is still typically worth its net tangible book value, with a discount to account for firesale and shutdown costs.
In case of Amazon that would be somewhere south of $15B, a far cry obviously from their $570B market cap.
Add in a few busines that are quite profitable (e.g. cloud services), and even in case of final implosion Jeff Bezos should walk away with a few billion.
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11-26-2017, 08:16 AM
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#22
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: May 2005
Posts: 17,237
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Quote:
Originally Posted by Totoro
Small nitpick addendum: even with no earnings, a company is still typically worth its net tangible book value, with a discount to account for firesale and shutdown costs.
In case of Amazon that would be somewhere south of $15B, a far cry obviously from their $570B market cap.
Add in a few busines that are quite profitable (e.g. cloud services), and even in case of final implosion Jeff Bezos should walk away with a few billion.
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True.... I was being brief with what I had said, but there always is something to sell.. and the cash might or might not go to the common stock...
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11-26-2017, 12:40 PM
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#23
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Apr 2004
Location: South Texas~29N/98W Just West of Woman Hollering Creek
Posts: 6,673
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Fellow Texan Jeff got a jump on me, but I will catch him or die trying!
__________________
Part-Owner of Texas
Outside of a dog, a book is man's best friend. Inside of a dog, it's too dark to read. Groucho Marx
In dire need of: faster horses, younger woman, older whiskey, more money.
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11-26-2017, 12:50 PM
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#24
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Thinks s/he gets paid by the post
Join Date: Nov 2011
Posts: 3,900
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Stock prices are forward looking whereas P/E measures only recent earnings. Seems like the stock expects Amazon to lever its position into higher future earnings.
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11-26-2017, 02:50 PM
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#25
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jul 2008
Posts: 35,712
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Quote:
Originally Posted by GrayHare
... the stock expects Amazon to lever its position into higher future earnings.
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Yes. A lot higher.
When Amazon stops growing, it will have to sell and earn 15X more than what it does now to justify its current stock price.
In 2016, Amazon total sales were $136 billion. Walmart sales were $486 billion. After Amazon took over 100% of Walmart sales, it would still need a lot more.
Here are some retailer sales figures.
Walmart: $486B
Target: $70B
Costco: $129B
Sears: $22B
Walgreen: $117B
Too many retailers to add up to see what Amazon would need to vanquish.
I guess it is easier to look at the total retail sales in the US. It is more than $5 trillion. That's about 36x the sales of Amazon, so I guess it still has some room to grow by annihilating everyone else and becoming the only retailer in the US.
__________________
"Old age is the most unexpected of all things that happen to a man" -- Leon Trotsky (1879-1940)
"Those Who Can Make You Believe Absurdities Can Make You Commit Atrocities" - Voltaire (1694-1778)
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11-26-2017, 08:37 PM
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#26
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gone traveling
Join Date: Dec 2015
Location: Berkeley, Denver, CO, USA
Posts: 1,406
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$100G
ISO units. The only way to go.
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11-26-2017, 08:44 PM
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#27
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Thinks s/he gets paid by the post
Join Date: Nov 2011
Posts: 3,900
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To increase earnings Amazon need "only" increase profit margin, with or without increasing market share.
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11-27-2017, 08:51 AM
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#28
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Aug 2013
Location: Texas
Posts: 10,930
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Fox news said this morning that his NW has probably increased 1 to 2% "just today" (cyber Monday). 1 to 2 billion since Friday. Not bad.
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11-28-2017, 07:50 AM
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#29
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Full time employment: Posting here.
Join Date: Nov 2015
Posts: 661
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Ill say it again...everyone worships bezos but hates the waltons...makes no sense. Walmart destroyed small business and now amazon is destroying larger b&m business.
But bezos is hip and cool so its all good, lulz.
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11-30-2017, 06:26 AM
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#30
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Thinks s/he gets paid by the post
Join Date: May 2014
Location: Utrecht
Posts: 2,650
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Who is "everyone" ?
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