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Microcap & Penny Stocks : Rat dog micro-cap picks...

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To: Bucky Katt who wrote (12888)7/15/2003 5:14:29 PM
From: CusterInvestor  Read Replies (1) of 48461
 
saw this on another thread, fwiw:
To:Crossy who wrote (3600)
From: michael john stout Tuesday, Jul 15, 2003 4:28 PM
Respond to of 3602

crossy- the point is that many companies actually aren't generating cash from operations and are using options to hide that fact and report positive EPS. Novellus for example.
I still don't see how 15 percent earnings growth justifies p/es of 50 or more. Another reason I say this is a bubble is the totally irrational trading going on right now. CMGI and EASY, two sham companies I have followed for years, are up 100 percent on no news. Both companies have less than zero chance of survival but are being pumped and dumped. This should not happen in a healthy market. I guess if I were smart I would have gone out yesterday and bought EASY because it was the only 1 dollar scam stock that hadn't moved yet- but if I had that kind of foresight I would be able to make 100 percent returns every year!
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