CMGI What is the latest news on this stock? Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : CMGI What is the latest news on this stock?

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: PAL who wrote (12609)	8/18/1999 11:24:00 AM
From: sunny	Read Replies (1) of 19700

a thought on inets in general taking lycos as an example: as of yesterday, lycos has been valued at 3.8b$. revenue estimate for 2000 has been upped to approx. 240 million $. now is this overvalued? are we talking about a "net bubble"? i don't think so. lycos has a gross margin of >80%. sometime in the future, R&D and Ad & Sales expenses will normalize (on a lower percentage level) for Inets by growing far slower than revenues. That means, net margins of >40% seem achievable. for 2000 (i know it will actually happen later than that) that would mean a PE of 40 for Lycos.... the essence is one day these inets (at least the major ones) will experience exploding bottom-lines making valuations by traditional measurements (PEs) far more transparent for the "conservative and traditional" investors. just some of my thoughts sunny

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next