SmartStockAdvisor.com Reports: Putting Things in Perspective
When you strip away all the daily drama of the Internet threads, there is one undeniable and all important fact that overrides all others: Microphonics is a profitable and growing company.
We are pleased to see that some shareholders are figuring out the purpose of Press Releases like the one yesterday. We are also glad that many are taking the longer view and have noticed the ever growing story of Microphonics. Despite the scare tactics, obvious negativity, or sarcasm of a few who post here or elsewhere, there is no denying that Microphonics has made huge positive strides over the last few months.
The Press Release from yesterday is just an example of news that, while not a blockbuster announcement, brings a growing confidence to serious Microphonics investors. It was a simple release that described a variety of companies who have purchased Microphonics products. It has names that are part of the growing Microphonics family.
Many shareholders have figured it out. Microphonics is not a "one or two trick pony". Quite the opposite in fact. Microphonics is highly diversified with many clients, both those currently under contract and those who are not. They have customers who are currently testing the product and those who already love the product and buy more on an "as needed" basis. They have customers big and small and in a variety of industries.
Without a doubt, it is a great advantage to NOT be too dependent on just a few major customers. The broader the base of customers, especially a growing base, the more likely that future earnings are bound to be consistently
growing. We think this is very comforting, since Microphonics does not have to rely on huge, new contracts every quarter to post excellent earnings reports. As some shareholders have pointed out, the number of clients who order small or moderate amounts of product, while not impressive to some, really enable sales to add up.
They provide a solid base of sales each and every quarter instead of the wild fluctuations that would likely occur if Microphonics just had a few large customers. Plus when a big contract does materialize, the earnings are able to grow even more dramatically.
While some people will never be satisfied or never choose to admit that it takes time to build a really successful company, the vast majority understand what is going on. They know the unique position that Microphonics has. They understand that Microphonics has been serious about establishing credibility with shareholders ever since they enlisted the services of Ernst and Young and agreed to hire a CFO. They comprehend that a distributor-based sales model enables Microphonics to more dramatically increase future sales. They appreciate the outstanding progress that Microphonics has made in both revenue growth and EPS (earnings per share) in 1999, which is the ultimate means by which any company is judged. They even know that stock prices may temporarily not accurately reflect company performance, but eventually do reflect a Fair Market Value based on Earnings Per Share and potential going forward.
Make no mistake. They know.
SmartStockAdvisor will continue to do our part in relaying information of both a large and small nature since it all adds to the ever growing story of Microphonics. For more information on Microphonics customers and distributors, "1999 progress to date", description of the technology,
news recaps, earnings, photos and more please see their website at microphonics.com
Disclaimer: SmartStockAdvisor. com is a compensated agent of Microphonics, Inc. as of May 18,1999. SSA has been hired to perform press and investor relations for the company and are being compensated as follows: during the first three months of our contract SSA will receive 3K freely trading shares and 2K restricted shares per month; thereafter SSA will receive 5K restricted shares per month, with possible additional restricted shares on a quarterly basis. In addition, the individuals comprising SmartStockAdvisor.com all hold individually owned unrestricted shares of Microphonics, which collectively amounts to less than 1% of outstanding shares. We are not a registered investment
advisor and suggest that you consult with an independent registered advisor as well as do your own research before investing in any stock. The opinions and analysis included herein are based on sources believed to be reliable but no warranty, expressed or implied, is made as to their accuracy, completeness or correctness. Readers are advised that this communication is issued solely for information purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy any securities. The reader should verify all claims and do their own due diligence before investing in any securities mentioned.
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