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

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To: creatix who wrote (1660)7/22/1998 8:40:00 AM
From: nmsparky  Read Replies (1) of 2232
 
Here is something from hnlyinfo.........
The way Henley has acquired companies would lead me to say the book value is either the same or higher. We really don't know how much debt Henley has assumed with each acquisition because there is no information. If Henley is acquiring companies pretty much debt free (ones that are profitable)then the book value might go up. Assuming there is any tangible asset worth to their business. I really don't care about book value that much as I care about MARKET VALUE. The value the stock has to the market really will drive the price. Take AMAZON BOOKS as an example. They have not made a profit with little assets and a lot of debt. Their book value would be probably low but their market value is high. I have not checked the price of the stock lately but AMAZON has not made a profit yet and is not projected to make a profit until late next year. But the price of the stock keeps going up because investors believe in the business plan and so the stock has market value. Book value is great for securing loans and other finacing issues but really has a low impact on the value of the stock.
WATER COOLER TALK
Talked to an investment banker today who knows a little about Henley and he said Henley has acquired the companies it needs to get to the big companies. He heard that Henley has been in constant negotiations with a few companies about acquiring them in the next few months. As well, Daisy and the whole Henley gang has been out of town the last few weeks trying to finalize the deals. Again - just water cooler talk.
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