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Technology Stocks : Netplex Group, Inc. (NASDAQ: NTPL)
NTPL 0.00Dec 22 4:00 PM EST

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To: xbrent who wrote (59)12/4/1999 9:11:00 PM
From: xbrent  Read Replies (2) of 192
 
Spent the afternoon reading everything that I could find re NTPL.
Posts all over the place with extremes on both ends as usual. Some are certain that NTPL is going to be in the $30's, while others regard such talk as crazy and P & D for sure. NTPL will have well over $100 million in sales next year. They are growing at perhaps a 50% rate of increase. That can't hold for long but it is impressive at this point. Assign any multiple you choose to NTPL. Comp firm multiples are in the mid teens to the mid twentys (gross sales vs share value) You could calculate that NTPL should be worth $80 a share based on comp valuations. Suggesting that however, would be regarded as insane. Interestingly P & D stock activity does get warranted criticism. NTPL just happens to be grossly undervalued at the moment and it the focus of some momentum investors. $20 per share is not at all unreasonable for NTPL tomorrow and it should hold there.
I just don't know how to compute and suggest an appropriate valuation model without some in the trading world regarding it as wackey.
Maybe an analyst will come out shortly with a price target. Otherwise the market will assign a new value one way or another. I guess that you could justify anything between $15 and $50. Quite a difference.
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