Anyone out there have an opinion on Individual Investor Group (INDI)?
I'm convinced it will soar in 97!
It's magazine (Individual Investor) continues to gain market share and has increase paid circulation by 83% from 1 year ago to 340,000. Look for 400,000 by year end. Publishing operations should become profitable in 1997 as advertising rates increase in response to increased circulation.
Has anyone seen INDI's new controlled subscription magazine "Ticker?" The first issue was out in October and will be published monthly starting in January 1997.
The hidden value lies in the Wisdomtree subsidiary which manages hedge funds and is an advisor to several unit trusts. Hedge Fund assets under management has exploded from 4.5MM at year end 94 to 45MM at year end 95 to 75MM a mid year 96. The hedge fund gets a 20% profit allocation and 1% fee on assets under management.
INDI is currently beta testing their interactive web site. This initiative will also go live in 97.
INDI currently sells for under $8 per share. They seem to be in several promising areas and could that could grow tremendously for years to come.
Look for a price of 20 - 30 per share next year if the profits on the hedge fund suprise on the upside. More importantly, look for continued growth in circulation (in the publishing business) and assets under management (in the money management business) to be the drivers for substantial price appreciation over the next several years.
I believe this could truly be a 10 bagger!
Any comments would be appreciated. |
