Jeff,
Nobody said that the stock market was fair or efficient. I look at CLCK right now as extremely oversold and I hope it doesn't stay here very long.
I did a little math and came up with a few points of interest. If we take the last quarter's earnings of .06/share and multiplied it by 4 quarters, we would have a "run rate" so to speak of .24/share net profit for the year. This is assuming no sales growth or earnings growth at all. We are now trading at below 10 earnings for a company that , according to their last earnings report has increased operating revenue by 266% and increased shareholder net equity by 102% since the beginning of 1998!!! Also, since April 1, the company increased net number of accounts it services from 464,500 to 653,000!!! And in my opinion, that's not the good news from the earnings report. The good news is that there is much more to come. In the report, it stated that many of the new programs haven't even kicked in yet. In this business, the expenses are for the most part front loaded, because there's a lot of testing to do before going live. Millenium and Platinum weren't even part of the first 9 months revenues, although we've already paid for the setup. Once it starts to produce income, it will add greatly to the bottom line.
I have to agree with Joe that I don't know of a company out there that has proven what it can do over the last 3 quarters and has huge contracts that, for the most part are already set up and ready to reap the profits very soon.
I also called the company today and asked if they knew what was going on. They pretty much said that they can't control the stock price but they were hard at work trying to increase shareholder value. Based on what they've accomplished in the last 3 quarters, I'd have to give them my vote of confidence.
Kevin |
