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Microcap & Penny Stocks : The Henley Group, Inc. (HNLY) undervalued growth company

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To: nmsparky who wrote (1606)7/10/1998 9:39:00 AM
From: nmsparky  Read Replies (3) of 2232
 
Here is some more info I found on the Yahoo board posted by hnlyinfo.

To All
Audited financials should be out by the end of the month and all my sources indicate that it will be in the week of the 19th/20th. There is some good news and some bad news on the horizon for Henley stockholders. I still feel if you own Henley DO NOT get discouraged with the information that will come out with the financials but look at this as a January 1, 1999 play.

THE BAD NEWS
Sources indicate that there will be no earnings per share and even a $.02 - $.04 loss per share. THIS IS NO SUPRISE TO THE INVESTMENT COMMUNITY! As long as Henley executes their business strategy of acquiring companies and raising revenues over the $20 million mark their share price will stay about the same. I think we will see the price go down about $.05 and then rebound on GOOD NEWS that will be released if executed in the next 2-3 weeks. Meyerson holds many thousands of shares of Henley and my guess is that they probably already know what the financials are going to look like (Banking institutions do business by numbers not by hype). If the numbers were not trending towards profitability or Henley was not executing its business plan then Meyerson would terminate the banking agreement with Henley and be dumping shares of stock. The dumping is not happening because we see very low volume. So, Meyerson must like what Henley is doing in order to keep doing business.

GOOD NEWS
There will be some great news in the next few weeks according to sources. There may be a flury of acquisitions in the next few weeks that will push Henley over the top and Henley has positioned themselves nicely. Just remember! It only takes one BIG acquistion to get them over the top. When it rains it pours and when its dry its a desert. That's the nature of any business and its cycles. We should see the price climb to around $.60 - $1.00 in the next month or so IF the acquisitions are completed.

FIRST FLORIDA
Nice company but Henley is just a small joint venture for First Florida. Not much info on them but in an already crowded telecommunications world they are trying to become a player in the wireless communication craze. My opinion is that the venture is good for both companies but First Florida doesn't really need this project but Henley needs the work for its MC TECHNOLOGY Co. Both are Florida based companies, bb stocks, and trying to expand in their markets. Would even seem strange if Harold Stocks knew an upper management person in First Florida (coincidence?).

SUMMARY
Don't be discouraged if the financials are not what they are hyped to be and I hope they are great (I own 40,000+ shares). But if they are not then look ahead at the positive things ahead. Like I said in my earlier posts, Henley will be over the $3-$5 a share price in a year and probably $1.50+ by January 1, 1999 if their business plan is executed. Good luck to all and I will have more IN THE DAYS TO COME - HNLYINFO
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