| Hello Sarkie, formerly Sarkie Bug. Infospace's assets, which include its cash hoard, exceeds its liabilities, which includes having no long term debt. Hypothetically Infospace has a value. Those who participate in Infospace's market regularly and are responsible for assigning that value are human with human fallibilities, which is to say because humans are involved in the valuation anything can happen. Crowd behavior is inherently unpredictable, as is evidenced by Infospace's all-time high price of around $150. The only aspects of Infospace's business I care a whit about are these days are its wireless subscriber and Authorize.Net businesses. It's wireless subscriber business is gaining customers by the day and Authorize.Net has been doing robustly, as evidenced by Infospace's recent quarterly results. Are these businesses of value. I think so, but the market differs with me. I have no idea what may become of the share price in the near term, but I'd wager that it won't hit zero. In fact I have never seen a share price of even a bankrupt holding company with no assets ever quoted as zero. If a company's shares were at zero, then hypothetically I could purchase the whole company for nothing but my discount broker's trading commission, and, hypthetically, it may even be possible for me to purchase an infinite number of shares. I reiterate my belief that Infospace's share price won't reach zero but it could come close if there were people willing to sell Infospace shares at such a low level. .00001 cents is possible if someone is willing to sell at that price. (I'd buy as many shares of Infospace as I could tommorrow at that price if it were available and the company's viability hadn't changed drastically.) |
