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 : MSU CORP-----MUCP -- Ignore unavailable to you. Want to Upgrade?

To: Alf who wrote (4116)	6/11/1999 5:40:00 PM
From: Hawkmoon	Read Replies (5) \| Respond to of 6180

Actually, I don't recall them ever putting out a press release on a weekend, except maybe for a Sunday. Could you provide an example to spur my memory?? As for Sharewatcher's complaints about all the rumour mongering, that is just to be expected. It happens with every stock when certain shareholders are looking to spur interest in a stock in order that they may profit on the backs of the unsuspecting dupes. There are only a couple of things that I'm looking at here. MSU has stated that they are ramping up to produce 25,000 boxes per month by September, and that they have the capacity with Shanghai Thakral to double that. That equates to between 1.4 and 3 million boxes, each selling at $150. Simply put, that means that MSU, a company that did less than 1 million in revenues last year, has the potential to generate a $200-300 million stream in the over the next 12 months. I suggest that these numbers are nothing to sneeze at, even if MSU only captured HALF that potential. This ability to market their product in a massive manner has ALWAYS been the specific aspect that has attracted me to MSU. They have the technology, the engineering expertise to improve that technology to meet market demands, and the architecture to deliver high capability at a relatively inexpensive cost. All it has ever required was the requisite capital infusion to enable them to commence manufacturing and meet potential client orders. One point that I made to a shareholder via private message is that, IMO, a potential customer doesn't just come out and sign a contract to purchase a quantity of boxes unless they can have an expectation of taking immediate delivery of a good portion of that order. THAT MEANS that MSU and Shanghai Thakral have likely been very busy running their production lines and building up the requisite inventory to satisfy their clients concerns about being able to deliver sufficient quantities in a timely manner. And I bet a good portion of that $3.5 million is being spent to facilitate that inventory buildup. (If someone has a different perspective or better information, please speak up and tell me where my scenario is incorrect). Second point. This company is a BB stock. That means that apart from a few speculators, it is relatively inaccessible to the overall trading market. I know of many people who were interested in trading the stock, but were not permitted to by their online brokerage accounts simply because it is a BB stock. Why is this important? Because if MSU has the kind of news that we all seem to expect that it has coming down the pike, for them to waste it when it remains in a limited marketplace for its stock may not make much sense. Better to obtain, or at least make the application for Nasdaq, and THEN have the news available for release. Now any or none of the above scenarios may be correct. However, I cannot ignore the fact that, absent more detailed information, they are manufacturing boxes and expect to make a HELL OF A LOT OF THEM this year. China ALONE could absorb much of a year's manufacturing. And since Shanghai Thakral is a Chinese company and MSU is their joint-venture partner, the box has a distinct advantage over the competition. Combine that with a SERIOUS "anything but Microsoft" bias on the part of the Chinese gov't and the economic boost producing these boxes in-country will achieve, I think they have will be very successful there. One more point about China. Their gov't is more interested in created a nationwide "intranet", rather than an internet. I have discussed this point before. Bejings fears the internet and the thought of having millions of individual computers in the hands of their people, all potentially subverting the power of the gov't. They would rather give their people a form of "dumb-terminal" internet appliance and have them access a gov't controlled ISP where they have a measure of control. So while we have these tasty rumours floating around from time to time, let's not all forget to keep our eyes on the prize. That being the eventual major sales that are almost assuredly to be announced at some point this summer, sooner or later. Folks can do what they want to do. Everyone has to form their own opinions and what they believe this stock is worth given the potential for growth in 1999-2000. All I try to do is just offer my opinion on how I'm analyzing the situation. Regards, Ron