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Technology Stocks : MSFT Internet Explorer vs. NSCP Navigator

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To: Keith Hankin who wrote (21913)12/3/1998 3:27:00 PM
From: Reginald Middleton  Read Replies (2) of 24154
 
<No. They have no revenue stream to justify their valuation.>

And neither did NSCP!

<How did AOL buy NSCP? With cash? No, with stock and stock options. AOL's stock has been hyped up much more than NSCP, therefore, I believe that NSCP was not priced appropriately.>

Your out of our mind Keith:

-AOL successfully beat back and effectively trounced the big bad MSFT in thier head to head competition where you are complaining that MSFT almost put NSCP out of business.

-AOL's annual revenue is nearly the entire market value of NSCP and still growing like a weed.

-AOL has a diversified revenue mix where NSCP's was highly dependant on the software client. Even if servers and advertising were thrown into the mix, they still are not as safe as AOL in terms of diversification.

- AOL's stock has been allegedely overpriced for five years and runnign now. That should tell you something. Pundits say MSFT's stock is overpriced for nearly a decade, as MSFT continues to take over the computing world. NSCP's share price was truly overpriced, hence failed to stand the test of time.

AOL deserves to be much more richly valued than NSCP. This merger actually makes things interesting. If you go back far enough on this thread, you will see that I felt NSCPs ephemeral valuation worked to its disadvantage once it got too high, for the very reason that it was ephemeral.
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