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Technology Stocks : Information Architects (IARC): E-Commerce & EIP

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To: Captain Jack who wrote (2058)8/24/1997 7:10:00 PM
From: Matt Hale   of 10786
 
TO ALL:

I found this on the AOL IAIC thread. I am neither long nor short on
ALYD. I do however own shares of IAIC. Just curious as to your thoughts
and comments to these remarks.

Post 1

"Ok Uffie - I couldn't stand it so I did some looking and came across
ALYD's financial statements. In one of your previous post I think you
had a lapse becuase what you meant to say was "look at those ALYD
financials THEY ARE HORRIBLE!!" Stockholders' equity was ONLY
27,000! In 1995 it was NEGATIVE!!!! Debt to equity ratio was 102
to 1!!!!!!!!!!!!!!!!!!!!! 1 to 1 and lower is good. Working capital
is a negative 1.7 million. Current ratio is .39 to 1. - The standard
is 2 to 1. THEY HAVE MORE DEBT THAN ASSETS!! In 1996 they had 37,000
in total revenue. GEE, I wish IAIC was valued like ALYD!!!!! Can't
investors read???????????? What a sham."

Post 2

"How can ALYD have a market cap of 400 million??? Their financials are
in a HUGE mess. The president can't even spell (or cares to have his
mistakes checked). I can't get over how high their debt to equity
ratio is. They have twice the total debt to current assets.
Stockholders' equity is a tiny 27,000. Revenue for the entire year
of 96 was $37,000. How can UFFIE even come in this room and say our
stock is running on hype??? Look at IAIC's history of revenue. For
the past 4 years they have had a small profit or small loss on revenue
s of 10-15 million. Now look at ALYD's range of sales - $37,500 to $260,000
since 1994. Some quarters in the past would have 0 for the total
revenue. This has to be one of the greatest hype jobs ever.
Management is a JOKE."

Post 3

"In order to support the current price level and market cap of ALYD
they need to bring in about 120 million in revenue for 1998 (3.5 times
120 million is 420 million which is the current market cap). Most
growth companies trade at a market cap of 3.5 times revenue. In
contrast IAIC only has to bring in around 40 million in sales next
year to support its current price and current market cap of about 150
million. Now uffie - which is hype?? You better just hope those
contracts keep on coming. Can you really trust management after the
mess they have created with their financials?
The history of ALYD is terrible. OTOH, look at all the new top
notch executives that have been hired to an already well established
IAIC management team. Look at IAIC's history of revenue and earnings.
Please, please, please stop insulting yourself with your emtpy posts.
You make yourself look so ignorant and like such a fool. I wish you
luck with ALYD becuase you are going to need it."
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