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Technology Stocks : Exodus Communications, Inc. (EXDS)

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To: RGrey who wrote (2292)6/30/2000 3:36:15 PM
From: Shaw  Read Replies (2) of 3664
 
I have been buying, holding,selling,and rebuying Exodus since April. I until demand for the service they provide falls away, thier bid to grab as much market share as they can, makes sense. Sacrificing present earnings, for larger amounts of future recuring earnings makes sense. It is not like they are borrowing money to sustain a failing business. Rather they are borrowing to build out greater market share, while market share is up for grabs. Unlike other dot com.s this is a co. that has earnings and a sustainible business, that is in demand. In a recent news release Exodus's debt rating was raised, which to me supports the third party view that thier business plan is progressing on tract. This is a co. that is growing into a first tier co., but unlike so many high tech first tier co.s, Exodus is not trading at unsustainable nose bleed levels. Rather Exodus's stock value has room to grow, as they get closer to putting the bulk of thier infastructure in place and turning it on.
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