EXLN - Excelon Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : EXLN - Excelon

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Bob Trocchi who wrote (570)	8/1/2000 3:51:30 PM
From: Elsewhere	Read Replies (1) of 811

[Business We{e\|a}k on B2B companies] While the article might give a good impression of the mood driving the trading crowds there are two nuggets which I would like to comment: Robertson Stephens analyst Eric Upin believes Ariba has the potential to be a $2 billion- or $3 billion-a-year company with 30% operating margins in just a few years. ARBA better reach that size. Does Upin mean net margins? Ok, let's assume $1 bn net profit. ARBA currently has a market cap of $26 bn - so in a few years the company might reach an acceptable valuation with a PE of 26. EXLN has a PE 02e of 13, now that's acceptable. [Michael Dubrow, analyst at Jacob Asset Management] Dubrow owns Commerce One, which compared to Ariba, "is a bigger bet that the exchange is going to work and add value." But it also is a cheaper stock, he adds. Cheaper, but cheap? A price/sales ratio of about 30 for a company losing $43 million on sales of $63 million in the past quarter? For some time I lost the belief that the exuberant times would ever end but what happened to the NASDAQ since March clearly shows that sooner or later Mr. Market demands a reasonable return on equity. The Commerce One chicken will come home to roost one day, too.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next