Thanks for your opinion and yes the announcement of International expansion is a valid and very much needed move...
Please take the following at face value...
Which one of the 2 following internet companies would you expect to be higher valued by the market based upon the BASIC data to follow:
Company A:
Recent Quarterly Results:
Revenue $10,100,000
Cost of Rev. and Operating Expenses $10,180,000
Income(loss)from Operations ($ 80,000)
Interest Income $ 3,200,000
TOTAL INCOME $ 3,120,000 (.06/sh)
Cash Position $160,000,000
TOTAL ASSETS $283,000,000
Company B:
Recent Quarterly Results:
Revenue $9,780,000
Cost of Rev. & Operating Expenses $8,120,000
Income from Operations $1,660,000
Interest Income $3,700,000
TOTAL INCOME $5,300,000 (.12/sh)
Cash Position $217,000,000
TOTAL ASSETS $508,000,000
Company A is NOT profitable on an operating basis
Company B has a 17% profit margin on an operating basis
Both companies are showing near identical Revenue Growth.
Any guesses??????
Best to All! |
