This is a thread for discussing solid companies
with a clean balance sheet, healthy growth and a profit
which are moving their operations online.
An ideal group to look at is direct marketers.
I want to find companies which have traditional valuations,
but when considered as an internet stock look 5 or 10 times
cheaper than companies they compete with.
Ktel is the role model. It was valued at 1/4 times sales.
It announced that it was moving online and its stock took
off like a rocket(6 bagger in one week). It looks very cheap
compared to CDnow which has price sales ratio of 30+.
These kind of price discrepancies are difficult for
the market to ignore and the market will bid up the share price
of the undervalued stock.
Please let us only consider solid companies traded on NASDAQ
with solid financials which will stand up to scrutiny. The Ktel
miracle is well worth a great deal of study.
Good Luck! Darren |
