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Non-Tech : Outerwall (OUTR), formerly Coinstar (CSTR)
OUTR 52.000.0%Sep 28 5:00 PM EST

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To: joe_investor who wrote (23)11/17/1997 2:08:00 PM
From: Gerald Thomas  Read Replies (2) of 351
 
From Investext...
Aug. 19
Smith Barney Report

"the three greatest inventions of all time:
1. the wheel
2.fire
3.the coinstar counting machine

Initiates coverage 1s( buy,speculative risk)

establishes price target of 20$
which represents a multiple of 24x 2001 net income discounted at
40%.

other highlights...

expect revenues to expand at CAGR in excess of 90% over the next 5 years...

expect them to install 1500-2100 units in 1997
additional 2400-3000 units in 1998
and then on 2000-2200 units each year after 1998

cash flow positive 1n second half 1998
earnings positive 1999

they project fully taxed 2001 net income of close to 40 million
and eps of 2.15

estimate company could have in excess of 100 million in cash at end of 2001...

They use 2 or 3 methods of valuing future share price
but all put THEIR estimates between 18-24$ a share...

this is over 100 page report through investext...
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