I should clarify a bit about my conversation with one of the founders. I am a former business reporter and market analyst, so I'm accustomed to being careful about what's public or not, as well as how I quote people. And as an investor now, I really don't want inside information on companies that I'm trading, for obvious reasons.
The things we talked about are all in the press releases and SEC filings, but it's always good to hear first-hand. Their new plan is to license content to Internet companies and Excite is just the beginning, they say. I'm long on ADAM because they have an incredible collection of anatomical imagery that would take any would-be competitor a long time to reproduce. So, big barriers to entry, which means that a licensing play could yield decent margins even without the direct play of the adam.com Web site.
The time seems right for them to go tell the story to Wall Street again, as they're doing, and try to get some institutions on board again. Obviously that will require getting the float up and seeing the stock convincingly break $10, but they seem to be confident that it can happen. |
