Michael,
What are your thoughts about Ariba (ARBA) as a put candidate? Here are some of the commendable attributes:
1. No profits in the past or near future, in fact huge losses,
2. They miss estimates all the time,
3. Insiders and underwriters are unloading like mad ($1.5 billion of stock sold, according to Grant's, which titles it's list of inside sellers "Aribaderci." Ha!)
4. Massive dilution (36% so far, and a filing to increase shares from 600 million to 1.5 billion),
5. Huge overpayment (in shares of course) to acquire tiny companies ($900 million for SupplierMarket.com, which had $300 thousand in revenues),
6. Low barriers to entry and a list of competitors that reads like a who's who of the Nasdaq
7. Completely incestuous relationship with suppliers and customers,
8. A market cap of 27 billion on less than 200 million in revenues since 1996!
Does this look like a live one to you?
Thanks,
/Kit |
