SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : MSFT Internet Explorer vs. NSCP Navigator

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Reginald Middleton who wrote (21912)12/3/1998 3:44:00 PM
From: Keith Hankin  Read Replies (1) of 24154
 
<But Reggie, the Netscape acquisition is a pure stock deal. Do you think AOL is fairly valued?>

Much more fairly than just about any major Internet company. AOL did almost 3 billion dollars in
revenues last year, on superb growth and a very even revenue mix (read not advertising only).


AOL has a price-to-sales of about 13-1 with annual revenue growth of about 65%. NSCP has a price-to-sales of less than 8-1 with annual revenue growth of about 30%. This is the raw calculation, however it does not account for the fact that since NSCP lost half of its revenue growth in the first quarter due to giving the browser away for free that it had to make up for it in other areas. Taking this into account, NSCP has annual revenue growth of about 100%, and if this continues will show a price-to-sales of about 6-1.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext