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Technology Stocks : DoubleClick Inc (DCLK)

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To: dabadabadoo who wrote (913)3/19/1999 5:25:00 PM
From: Mitch Vine  Read Replies (1) of 2902
 
Are the fundamentals there to support the price?

Try this on for size...
Last 3 month revenue $ 29.1 million, last year revenue growth 166%
One year revenue = 4 x 29.1 = $ 116 million / year

Lets Look at some 5 year revenue projections
Assumption: Net Profit = 20%, PE Ratio in 5 years = 30x

IF Revenue Revenue in Earnings Share Price
Growth Rate 5 Years (20% net) EPS (pe=30)
166% 15.4 Billion 3.08 Billion $156 $ 4,710
125% 6.6 Billion 1.3 Billion $66 $ 1,989
100% 3.6 Billion 740 Million $38 $ 1,130
50% 900 Million 180 Million $9.2 $ 276

I know these numbers look crazy but then an annual growth rate of 155% is crazy and yet that is what DCLK just did. I'd be very interested
in other's views of how they would put a fundamental value on a
stock like this and other hyper growth stocks.
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