ASDV- Aspect Development-THE NEXT MSFT! Message Board

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Technology Stocks : ASDV- Aspect Development-THE NEXT MSFT!

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To: Adam Smith who wrote (230)	4/5/1999 1:17:00 PM
From: Golfinginthesun	Read Replies (1) of 414

Sorry about being so long in responding. Normally this board is dead so I don't check it until I receive a notice of a posting. Sad that it takes times like this to draw interest. ASDV does not fit your model as they have a huge reliance on large deals to achieve their growth model. We knew this but the company generally had such a large backlog this was not a big problem. As the analyst note, the company is trying to wean off of the big deal syndrome but they have been unsuccessful and after all, if someone wants to give you $10M for your program. You take it. The company is definitely in a tough situation. In order to get out of the big deal mode they need to devise a multi-tier approach to their product line. A small focused product for small to mid size companies and then the full blown product for larger organizations. It's a no brainer sell to a fortune 500 company. Any fortune 500 company that has ANY design/manufacture element to it should have this and if they don't you have to wonder about the vision of their CIO. It's when you get down to the small to mid size companies that you see them looking for alternatives like searching web catalogs and what not or an internal solution which is process focused without a good backbone tool to enforce the process - just hope everyone operates in a world class manner. The next two quarters will tell us if this is a blip or a serious problem. Either way. You have to wonder if maybe we don't need a management shake-up and an acceleration of the new President search is definitely in order. With this stock price there is plenty of room for upside for a pro 'fixer' type president. I would hope this is now the number one priority. Along with controlling legal risk and putting together one hell of a good answer as to how they can go from saying everything is fine and dandy at the last Q conference call to missing the quarter by $20M. If it is truely just a slip in the three deals. Close them and add them to what deal flow you were going to use in Q2. Post a buck EPS in Q2. If you can't do that then it is obvious we have a fundamental slow down and not just missing three deals in one quarter. Something more systemic like complications in the sales process due to a bluring of product categories in the outer periphery of your product offering (ie the catalog over the internet offerings). At these prices the company is an insane steal. My ass these guys are worth two times sales + net assets. That would be a minimum bid in a buyout but the deal would never complete at that price.

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