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Non-Tech : NetBank(NTBK)-formerly Atlanta Internet Bank -- Ignore unavailable to you. Want to Upgrade?

To: Mike Milde who wrote (1865)	6/7/1999 10:14:00 AM
From: VALUESPEC	Read Replies (1) \| Respond to of 2414

Mike,you should know that NTBK's growth has been profitable. If they continue the recent torrent of additional new customers, the profits will fall. In fact, I'd say that profit should be of least concern to NetBank. I'd rather see them plow all that money back into picking up new customers- assuming they can absorb them quickly enough. NTBK pays less than $100 per account to pick up each new customer. Where that is way up from about $50 before their most recent advertising campaign, it is much less than the industry norm (I don't have the exact figure, but the CEO of NTBK was quoted as saying this). I am MOST concerned about the number of subscribers attained, and the quality of those customers. Historically, the quality of customer has been excellent as many internet savvy people also have higher than average income. If the account growth can continue, especially as a percentage, NTBK($31) should do VERY well very soon, IMO. Of course, this assumes the market leaders like AOL ($115) and EBAY ($165) hold up. Since NTBK is still does not have a very long track record in which to judge its most recent delve into advertising for new customers, we just have to wait to see if the advertising continues to work. There is a chance that they won't be able to sustain the recent interest. I think they will, but who knows? NTBK: $ 31 VALUESPEC