Thanks for the link Lou
whenever a company gets linked up with the "internet" group, appears they soar.
Happy you were patient, up 3 and change .... nice!
Sue
>>>> CKS Group
CKS Group is an 11-year-old firm that has added Internet expertise
to its menu of more traditional brand-promotion services. But the
new-media business, which accounts for 26% of sales, has helped
push five-year projected earnings growth rates to 33%, exceeding the
company's price-earnings ratio of less than 30 times 1998 earnings.
The company's management put the stock on a fire-sale last
November with a warning that earnings would be far lower than
expected for the foreseeable future. Six of the company's top 10
clients, who accounted for a dangerously high 50% of revenue, all
decreased their spending with CKS virtually at the same time, says
James Dougherty, of Prudential Securities, who still rates the stock
a "moderate buy."
CKS is diversifying its client base, but until it completes that
process, the stock may not move much, adds Rita Spitz, an analyst
with William Blair & Co., who also rates the stock a "buy." For a
company with more than $140 million in revenue over the past year,
$35 million of it from the Internet, and real earnings to boot, the stock
is certainly cheap. That's why three of seven analysts rate it a
"strong buy" and two rate it a "moderate buy." |
