The Stock Investor Newsletter
January 9, 1999
January Buy Recommendation
************************************************************************I know this is long but it looks like things are going to start happening!!! Thanks Dave
Once again we welcome you to The Stock Investor premium newsletter
list. Today The Stock Investor Newsletter will be releasing its January
stock recommendation. Remember that as a premium subscriber you will
receive The Stock Investor Newsletter 10 business days before the stock
is posted on the StockInvestor.com web site. The Stock Investor
Newsletter seeks out Buy Recommendations and Research Reports that have
recently been issued by Wall Street investment analysts. It is our
goal to bring you stocks that go up and stay up. Please review our
previous performance below.
Last week we discussed the price performance of the previous six stocks
that were posted on The Stock Investor web site. Again, it is our
pleasure to inform you that both U.S. Microbics (November profile)
(Ticker: BUGS) and Ascend Communications Inc. (Ticker: ASND) hit all
time new highs late this week. BUGS, profiled in November at $1.53,
reached $5.375 per share for a 251% gain and ASND, profiled at $30.81
reached $71.25 for a 131% gain.
Listing of the past 6 stocks that The Stock Investor Newsletter has
Profiled:
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December Featured Company: Bluefly Inc. (Ticker: BFLY) at $10.875 per
share. High since profiled: $24.50 (125% gain).
November Featured Company: U.S. Microbics Inc. (Ticker: BUGS) at $1.53
per share. High since profiled: $5.375 (251% gain).
All profiles previous 10 months: (Only 4 companies were profiled during
that period.)
InterJetnet (Ticker: IJNT) profiled at $3.50 per share. High since
profiled: $12.125 (246% gain).
Seventh Generation Inc. (Ticker: SVNG) profiled at $0.47 per share. High
since profiled: $2.25 (378% gain).
Ascend Communications Inc. (Ticker: ASND) profiled at $30.81 per share.
High since profiled: $71.25 (131% gain).
Gateway 2000 (Ticker: GTW) profiled at $30.00 per share. High since
profiled: $68.75 (129% gain).
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January Buy Recommendation: iSleuth.com Inc.
Ticker Symbol: SLEU
Current Price: $6.68
Target Price: $17.00 to $19.00 per share
52 Week High/Low: High: $9.625 Low: $1.18
Shares Outstanding: 2.7 million
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..iSleuth.coms web site contains what has long been considered by
Internet experts to be one of the webs premier and most powerful search
engines in existence.. Now this company has gone public.
To start off the new year The Stock Investor Newsletter feels that it
has identified a company that offers investors tremendous potential.
The Stock Investor feels that iSleuth.com Inc. (Ticker: SLEU) meets
several key parameters that make this an undervalued stock at these
levels. First: SLEU has not received attention from Wall Street
analysts and we expect that to change very soon. Second: SLEU will
derive the majority of its revenue from its search engine iSleuth.com.
Third: SLEU has been ranked as one of the top search engines on the
internet.
Simply put, iSleuth.com Inc. is a search engine that has been rated as
one of the top search engines by PC World, PC Week and the New York
Times. With iSleuth.com going public, an opportunity has been created
for investors to get involved with this company on the ground floor.
Please Note that over the past 5 trading days the volume on iSlueth.com
Inc. stock has increased significantly. We believe that we will see a
strong spike in the stock to the upside as investors accumulate shares
of iSlueth.com Inc. A target price of $17.00 to $19.00 per share has
been set.
Let us look at the stock performance of other search engines over the
past year. Yahoo Inc. stock has gone from $28.81 to $340.00 per share
for a 1000% gain. Infoseeks stock has gone from $8.44 to $56.00 per
share for a 563% gain. Lycos Inc. stock has gone from $15.00 per share
to $90.50 per share for a 512% gain and Excite Inc. stock has gone from
$14.00 to $62.25 per share for a $344% gain. What will the future hold
for iSleuth.com Inc. currently trading at $6.75 per share?
Today a Strong Buy Recommendation was issued on iSleuth.com Inc.
(Ticker: SLEU) and that is why we have chosen iSleuth.com Inc. for our
January profile. A price target was set at $17.00 to $19.00 per share.
If you recall on 12/16/98, less than one month ago, Oppenheimer reissued
their buy recommendation on Amazon.com with a price target of $400.00
per share. Since this recommendation (only 3 weeks ago), Amazons stock
has gone from $240.00 per share to $556.75 per share. (Adjusted for the
recent 3:1 split). Will these stocks continue up or will investors and
fund managers flock to the smaller, less well known internet stocks? If
you look iSlueth.com Inc. stock over the past 5 days you will notice
that Wall Street is finally starting to notice iSlueth.com and is
investing heavily in this company. If you have any question about
iSlueth.com Inc. please call their investor relations department at
1-561-483-7743.
We have enclosed todays Buy Recommendation on iSleuth.com Inc. below:
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STRONG BUY RECOMMENDATION ISSUED ON iSlueth.com Inc.
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January Buy Recommendation: iSleuth.com Inc.
Ticker Symbol: SLEU
Current Price: $6.75
Target Price: $17.00 to $19.00 per share
52 Week High/Low: High: $9.625 Low: $1.18
Shares Outstanding: 2.7 million
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It's gotten so that you can't go anywhere without hearing someone
mention the Internet. Let's face it, it seems like everyone's doing it
-- adults, kids, college students, retirees, grandparents, Generation
X'ers, Baby Boomers, etc. As for that shrinking minority of non-Web
surfers, you can bet that lots of them either just got a new computer as
a present for the holidays or they'll be getting one real soon. Hey,
you want to see astounding growth, check out some of the industry
estimates being tossed around. Some industry analysts predict the
number of Internet users will grow to over 300 million within the next
two years. Now that is phenomenal!
With all this user growth, not to mention all of those companies and
organizations developing their own Web sites so they can hawk their
goods and services, how the heck will people pick a starting point and
then find their way around the Internet. Easy. First you pick out an
Internet "portal" site as your home base and then make use of a really
good search engine. Now, what would be really great is if you can find
one site that does both.
Which brings us to our pick for this month, iSleuth.com (OTC: SLEU),
whose stock we feel is relatively undiscovered and undervalued.
iSleuth.com's web site (http://www.isleuth.com) contains what has long
been considered by Internet experts to be one of the web's premier and
most powerful search engines in existence, The Internet Sleuth. Since it
was first founded in 1995, the Sleuth has been consistently cited among
the web's top search engines by the likes of the New York Times, PC
World and PC Week. Better still, the site is being transformed into a
portal, with a whole host of user-friendly services that Internet users
want.
With their stock trading at around only $5.50, giving them a market cap
of about $17 million (with only approximately 2.7 million share
outstanding), this may be one of the best value plays in the Internet
industry. Just consider that in mid-1998 Walt Disney purchased a 43%
stake in InfoSeek in exchange for Disney's ownership position in
Starwave plus $70 million in cash (a deal that based on current stock
market prices could be valued in excess of $1 billion). That should
tell you something about valuable a good search engine and portal can be
- and Disney and Infoseek are launching a new portal service that
parallels what iSleuth.com is developing.
How can it be possible that the iSleuth.com is so powerful, yet so
relatively undiscovered by Wall Street? The answer lies in the Sleuth's
genesis back in 1995 as a non-commercial site that was developed
primarily for the use of university and institutional researchers.
Quite simply, it was designed to provide serious researchers with an
incomparable tool for finding specific information related directly
their queries, with far fewer of the extraneous search results than are
typically spewed by other search engines.
What makes the iSleuth.com web site different is that while other search
engines attempt to index the entire web, The Internet Sleuth maintains
an index of over 3,000 subject specific searchable databases in over 300
categories. Unlike other search engines, most of these databases can be
searched directly from the Internet Sleuth, simplifying the search for
information. The Sleuth also has a parallel search engine that enables
users to search multiple search engines like Yahoo!, Excite, and Alta
Vista, all simultaneously! This is the ultimate in one-stop searching.
Now, fast forward to July 1998 when the site began its full
transformation into a for-profit commercial project upon its acquisition
by iSleuth.com. By way of background, an option to purchase the search
engine and its site (owned privately at the time by its founder, Sally
Elliot - a highly respected Internet pioneer), was held by Maverick
Communications, an Internet services company that was the site's host
ISP. In July, iSleuth.com acquired Maverick and then immediately
exercised its option to acquire the search engine and its site.
In the seven months since July 1998 the changes at iSleuth.com have been
clear and unmistakable, and all with a goal of further developing the
iSleuth.com Web site into a one-stop searching, shopping and information
site that will serve as a gateway for Internet users. Immediately the
user interface was updated, provisions for e-commerce and links to other
sites were added and the stage was set for further developments.
One of the biggest of those developments was the announcement in
December of an agreement with major Internet player Inktomi Corporation
for the development of a new comparative e-commerce shopping service.
This new service, the iSleuth Marketplace, utilizes a new software
platform Inktomi currently has under development, and provides access to
over 200 on-line merchants and 500,000 products, encompassing 14 major
product categories. Inktomi just happens to be a company that develops
software designed for the world's largest Internet infrastructure and
media companies. Inktomi also just happens to work with leading
companies such as America Online, @Home Network, CNET, Intel, Microsoft,
Sun Microsystems, and Yahoo! So clearly, this is a major feather in
iSleuth.com's hat.
Last November, the company entered into an agreement with 24/7 Media,
Inc., one of the Internet's leading media companies, whereby the
iSleuth.com site will become part of The 24/7 Network. Under the terms |
