Here is that Press Release:
FOR IMMEDIATE RELEASE: Thursday May 20, 1999
CONTACT: Wayne Brown/Senior Vice President (wayne@ctaonline.com)
Denise Zainea/Account Executive (denise@ctaonline.com)
Carl Thompson Associates, Inc.
800-959-9677
ECOMMERCIAL.COM RATED “STRONG BUY” BY CAPITOL BAY SECURITIES
Conference Call Scheduled to Discuss Revenue Model
SACRAMENTO, CA – Capitol Bay Securities' analyst David V. Jackson, CFA has issued a research report with a “strong buy” recommendation for eCommercial.com (OTC BB: ECRL), a provider of interactive, multimedia Internet advertising.
In its recommendation, Capitol Bay stated that it believes “eCommercial.com will revolutionize and shape the way companies and entities carry out advertising campaigns over the Internet.” Jackson's report says eCommercial.com intends on dominating the asynchronous multimedia content delivery marketplace and compares the company to Broadcast.com's (http://www.broadcast.com) leadership in the synchronous delivery marketplace.
The report indicates that earnings per share should rise from an estimated loss in 1999 to a projected $0.64 for 2000. Capitol Bay also expects revenues to rise from $2.4 million in 1999 to $27.5 million by the year 2000 and an additional 147% to $68.0 million by 2001. This estimation is based on the company's ability to garner new contracts and utilize its five revenue streams: production, consultation, delivery, tracking and revenue sharing on product sales.
Capitol Bay believes eCommercial.com has a truly unique opportunity to capture a significant share of the ecommerce market and become one of the few Internet companies reporting significant profits. Using a P/E multiple of 30, Capitol Bay's 12-month and 24-month price targets are $19.20 per share and $65.70 per share, respectively. As consolidation in the Internet industry continues, major Internet portals such as Yahoo (http://www.yahoo.com) and Excite (http://www.excite.com) may identify eCommercial.com as a potential acquisition target, according to Jackson.
(more)
A copy of the report is available by contacting Capitol Bay securities at:
2424 Professional Drive
Roseville, CA 95661
Phone: (916) 782-5522
eCommercial.com and Capitol Bay Securities will host a conference call for the investment community and the media on Tuesday, May 25, 1999 at 1:30 p.m. PT (4:30 p.m. ET) to discuss the recommendation and revenue model. A question and answer period will follow the discussion. Please contact Denise Zainea or Wayne Brown at Carl Thompson Associates to receive dial-in information.
An eCommercial™ is a highly compressed multimedia file that consists of several data types including video, audio, still images, text tickers, graphics, animation and web hyperlinks. To view a demo of an eCommercial™, visit ecommercial.com on the Internet.
This press release may contain certain forward-looking statements with respect to the company that are subject to risks and uncertainties that include, but are not limited to, the company's ability to obtain contracts, competition in the marketplace and general market conditions. Actual results may vary materially.
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