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Technology Stocks : 4Front Technologies - FFTI

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To: JakeStraw who wrote (371)6/24/1999 1:32:00 PM
From: Fortinwit  Read Replies (1) of 457
 
"I think they could be a candidate to be taken over," he says.

And that always makes me nervous. I still see FFTI as undervalued by at least 50% and an obvious takeover candidate. What worries me is what sort of premium the shareholders would get in such a deal. Would someone like IBM pay any premium over a fair valuation (say $20) if the stock is currently trading around $10? I think not. I'm still looking to hold FFTI for several years and I can see this company moving its current revenue target from $250M to $500M, and then beyond. $500M is certainly possible in 2-3 years at current growth, and with the number of shares outstanding (~10M), I'm estimating a $50 share price in 2002. That would be a 10-bagger in 5 years. Not bad. At all.

F.
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