from the dark side:
TRIIBoy issues a RUN FOR THE HILLS THE CATTLE ARE DYING rating on IDTC.
Stock has run up thanks to an impressive short squeeze of NTOP. NTOP's rise has been totally liquidity driven in that NTOP has only 5 million shares float out of 48 million oustanding.
IDTC is much easier to short than NTOP because it has 14 million shares float and will surely fall once NTOP comes back to earth.
Don't look at the "inherent value" of IDTC's NTOP holding. That is a ruse. The market realizes that IDTC could never sell at NTOP's current price and that is why IDTC is not at $40 or anywhere close.
In summary, IDTC is a safer way to short NTOP than trying to commit suicide by shorting NTOP.
exchange2000.com
another one from the dark side
TRIIBoy:
<<<
In summary, IDTC is a safer way to short NTOP than trying to commit suicide by shorting NTOP.
<<<
What the hey...I'm short both of 'em. Here's an interesting squib from yesterday's CBSMarketWatch puff piece:
CBSMW: But are people actually using it (Internet calling from their PCs)? You have a lot of members that have signed on and are downloading the software, but are people actually using it?
Greenblatt: Unlike a lot of Internet companies, we have serious revenues already, as you well know. We have real revenue already. We have 2 million customers. We do well over 50,000 credit-card transactions a month. There are people paying and using.
Funny, yesterday Greenblatt says they have 2 million customers and in their registration statement they said the following:
Approximately 91% of our revenue is generated from per-minute charges we charge our customers on a prepaid basis to use our PC2Phone and Phone2Phone services. As of April 30, 1999, we served over 250,000 active customers who spent an average of approximately 60 minutes per month placing calls over the Internet.
Now I'm sure they have added a few "customers" since April 30th, but 1.75 million?
drakes353
exchange2000.com
more from the dark side
To: Ken Whiteside who wrote (462)
From: Srinivasan Balasubramanian Tuesday, Aug 24 1999 7:25PM ET
Reply # of 484
Ken, NTOP is a mania. Yesterday WSJ reported that short-covering propelling NTOP in a upward spiral. Lot of momentum buying squeezing the shorts at every stage. When Street.com ran a scathing article on IDTC, I thought it would be difficult for NTOP to make any substantial run but the market is an humbling experience. And James Cramer shortly after the IDTC episode, when questioned on what he thought of NTOP, said nothing as if he has not even heard of it before. Self-serving and egoistic. Probably going long on NTOP on any meaningful pullback and short on IDTC now is a good hedge.
- Srini
exchange2000.com |
