Looking forward.....
1. Won't go bankrupt because they have enough money to conduct a structured, organized auction after FEB.
2. They're the last small cap in town, hence P6 represents the last prebuilt way to exapand into hosting/ASP/internet services.
3. Historical sale prices of similar companies suggest PSIX will go for a whopping premium over today's *panic selling* share price.
4. Anaylyst valuations of PSIX ignore its web hosting division.
5. Telecom meltdown will abate in 2001 with more profitible pricing to come after consolidations.
6. Its a down market and PSIX has generated over 100% revenue growth nonetheless.
7. Funding gap is the real reason PSIX is down, others with better funding, aka XOXO have not been punished as badly as PSIX.
8. Lease back of hosting assets likely prevented by debt covenants (as I would suspect.)
9. Consulting mess and meltdown related to internet meltdown, but this market gap will evenutally be made up by bricks and mortar companies integrating the internet into their businesses for payroll, personell, procurment, inventory, and other uses.
10. PSIX is well positioned to make money going forward and, the question is how will it weather the storm.
11. Possible suitors: Level 3, Q, DK, T's spun off business telecom unit, NTT, or even IBM or GM Hughes. |
