Amazon.Com beats estimates, stock up 18%

The Street.Com ^ | 04/25/2007

[farlander]

lready the best-performing big-cap Internet stock, Amazon.com (AMZN - Cramer's Take - Stockpickr - Rating) has just won itself more supporters.

Shares surged 13% early Wednesday after the online retailer blew away the Street's first-quarter earnings expectations and ratcheted up revenue guidance for the second quarter and full year. Piper Jaffray upgraded the stock to market perform from underperform, citing margin gains. That move came two days after Piper downgraded the stock, citing valuation concerns.

[farlander]

Ahhh, we're back in the stratospheric P/E territory. It was 100 P/E before the earnings, and now, with 18% upside, it's... crazy. Can anyone smell 2001 ? But - just becuase it doesn't make sense, doesn't mean the market won't price it there.

[farlander]

Economy, Financial Markets and Investment Ping List

Profit Center Ping

[devane617]

To rich(P/E wise) for my investment pennies...

[farlander]

Let’s just say it was too rich yesterday, but never the less, I got pretty much creamed on this trade this morning. Put options go to zero (or close to) pretty quickly. Fortunately I can buy more puts but this time the 55 strike... It’s just insane.

[Rummenigge]

short it with a few bucks - if it falls it falls deap.