Good summation of the excellent conference call was provided on the Yahoo thread. After we saw AH action move the stock up .09/share, it's clear the downtrend channel has broken to the upside on the daily chart so I'm putting a "strong buy" for trading purposes with upside to 1.45 or so (knock on wood).
Deblasio really seems to exude confidence, business savvy, and credibility, something this company has seemingly lacked for several years. He emphasized that they have early insight into several major contracts that are forthcoming for bid and that his strategy is to prepare the company to prepare itself to be ready to bid on those:
Some notes I've made from the conference, not much time, so it are quick, short lines. I hope this add to the value of the board :
* Only new customers who brings in additional value
* expense to revenue from mid 40's to high-mid 30's
* LARGE DEALS COMMING DOWN THE ROAD ... 2-3 Q's away
* EXPANDING 11 of the total of 38 DATA CENTERS which you can link with the new customers
* Revenues of the updates, already in the 4th Q
* All 11 will do generate extra revenues in the Q4
* Cost for this update 8M
* Profitabily and substained profitability is IMPORTANT by : Cutting cost and how do you reinvest the money you don't spent
* ADD SHAREHOLDER VALUE, SUBSTAINED shareholder VALUE
* Investing in quick returns
* 8M investing for updates, returned within 2 years, this is what I (CEO) want : 2 years or less for return of investments
* Focused on driving new customers into the business
* Revenue is broken out
* Adding additional applications and services in the future ... generating extra revenues ... yan can see where this is going to
* 2142 customers
* 4M cash added to the balaced sheet in last Q
* A long term race :
1 point makes a dot
2 points make a line
3-4-5 points make a trend
* QUESTIONS SECTION:
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* Question about the past of management : CEO came to Internap : a lot of trapped value, want to release this value, it has just started. It's a long journey not a short one
* Pricing decling 25% or lower for BW
* We always use the pipes who are costing us the less
* R/S :
Proxy has sent, Shareholders will vote on Annual Meeting June 21th; Ratio : between 1/5 and 1/20. We need shareholder approval to do so. 340M shares outstanding
Why ??? Big volatility, only RS because of strength and not of weakness, shareholders will decide. We want an other public of shareholders.
* After update of the 11 data centers : bigger pipes for bigger customers
finance.messages.yahoo.com
And some of the latest chart action:
bigcharts.marketwatch.com
bigcharts.marketwatch.com
Also, CIBC has apparently upgraded the telecom market and bumped IIP up to "sector perform" (which is a conservative estimate)
briefing.com
And Donharold.net has a buy rating on the shares and upgraded EMC:
knobias.com
That's all I have for right now.. Let's see how today's trading goes.
Hawk |
