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Technology Stocks : Creative Computers(MALL)

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To: Tom Hua who wrote (1044)12/3/1998 3:54:00 PM
From: Doug Fowler  Read Replies (2) of 1634
 
Tom:

I think uBid will disappoint.

Right now OnSale has a market cap $800M, with $57M in sales last quarter compared to $15M for uBid. Taking that ratio of 15/57 and multiplying by 800M, you get a $210M market cap for uBid. Divide by 8M shares and that is about $26 a share. Assuming each MALL shareholder gets .8 of uBid, you get uBid contributing less than $20 share to the MALL price.
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