Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : PanAmerican BanCorp (PABN) -- Ignore unavailable to you. Want to Upgrade?

To: ColleenB who wrote (37776)	6/10/1999 1:31:00 PM
From: DSPetry	Read Replies (1) \| Respond to of 43774

48 Hours...still no reply??? Message 10030811

To: ColleenB who wrote (37776)	6/10/1999 1:35:00 PM
From: Scottoo	Read Replies (1) \| Respond to of 43774

Dear VacuousB, A company which doesn't advertise, dies.Money makes money and the money money makes makes more money--B. Franklin

To: ColleenB who wrote (37776)	6/10/1999 2:10:00 PM
From: PCModem	Read Replies (1) \| Respond to of 43774

"I wonder just how many paying clients use IT that they feel a need to engage in a "massive" campaign to get clients in their trading rooms." Golly, I never thought of it that way. Makes me wonder about McDonalds and IBM. Their business must be lousy using the same logic. Only you would question the need or advisability of advertising. Only you. The idea that occurs to me is this: I-T appears to have enough paying customers to be able to (a) pay for advertising and (b) offer FREE training. As I recall, most competitors charge from $2,000 to $5,000 for day trading training. IMHO Providing such training for free is a great public service, a sign of confidence in both the training and the service, and suggests profitability of the business. Also, a very astute business strategy. The fact that most day traders lose money and the fact that the competition has to charge for such training suggests to me that the competition does not have a lot of happy customers and has to make money by selling training. If I-T doesn't need to use fees from training to be profitable, then that is a sign they are doing a good job and a valid justification for advertising in order to increase business even more. PCM GO PABN!!!

To: ColleenB who wrote (37776)	6/10/1999 4:16:00 PM
From: PCModem	Read Replies (1) \| Respond to of 43774

"I wonder just how many paying clients use IT ..." Another one of those strange questions that can only be answered by asking those who know the answer, that is of course, if what you really want is an answer. I understand that I-T is currently averaging 1,500 trades per day (I really wanted an answer to that question). With 52 stations available in the two offices, that works out to 4.4 trades per hour per station. Assuming that on average only half the stations are occupied, that's still 8.8 trades per hour for 26 stations. For day trading, that seems to me to be within reasonable bounds. The Seattle office should be coming online soon. Let's assume that I-T can get to the level of 2,000 trades per day sometime in the near future. (The breakdown that follows is from the same shareholder who just installed I-T on his laptop. He has given permission to use this information and his initials: AAD. I believe he will be with us in Boca on June 24th): "If IT is doing say 2,000+ trades/day total: 2000 trades/day * 20 days/mo * 12 mo/yr * $25 gross = $12,000,000 gross/yr or 2000 trades/day * 20 days/mo * 12 mo/yr * $11 profit = $5,280,000 profit/yr Using conservative 1/3 of Ameritrades multipliers (21.59 Price/sales; 233 P/E) Gives PABN a valuation of (21.59/3)$12,000,000 = $86,360,000 or (233/3)$4,000,000 = 310,666,000 Say, if we average the two gives PABN a market value of $198,513,000 or $0.23/share using 850,000,000 shares from IT alone. The IT numbers will increase once we go online and additional offices are opened." [emphasis added] I'm not qualified to evaluate the appropriateness of the above estimates, multipliers, etc. If the above is reasonable, it looks pretty good to me. PCM GO PABN!!!