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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: Paullie who wrote (8370)	6/23/1999 9:32:00 AM
From: StockHawk	Read Replies (1) \| Respond to of 57584

IATV - I've been looking at perhaps buying IATV as it bounces off its recent lows. As part of my DD I reviewed a large number of postings on the two IATV threads here on SI. Although the stock has dropped lately there have been positive developments: ACTV'S HyperTV Networks Joins Sun Microsystems & Other Education Service Providers in New Alliance for K-12 Schools --June 22, 1999-- zacks.newsalert.com itle=Headlines%20for%3A%20iatv%0A NEW YORK--(BUSINESS WIRE)--June 17, 1999-- SmallCaps Online LLC (Formerly Bridge Technology Group LLC) Comments On ACTV Joint Venture With General Instrument and Reiterates Buy Recommendation zacks.newsalert.com &Title=Headlines%20for%3A%20iatv%0A General Instrument & ACTV To Offer a Complete Solution for Addressable, Targeted Digital Television Advertising - Business Wire - June 14, 1999 04:15 zacks.newsalert.com itle=Headlines%20for%3A%20iatv%0A The key recent negatives appear to be a large stock sale by a company insider (450,000 shares in the $16 range) and issues concerning management compensation, including options, stock grants and an incentive based on market cap: (this is from a post by StaggerLee) "I've finished reading the proxy report, including the 1998 financials. I'm amazed (but hardly surprised) that this board isn't buzzing more about their contents. I didn't realize that Samuels gets a cash bonus equal to 2% of the increase in market cap. This will make it extremely difficult for ACTV to ever show a GAAP profit for a long, long time...And this doesn't even include the various options and SARS plans, or his $295K salary. Mr. Samuels is making an absolute fortune in 1999." StaggerLee was a frequent poster, and was one to usually raise red flags. He was therefore generally vilified and called names (such as "short") but I found his post to be thoughtful and diligent. I would suggest that anyone investing in IATV review his posts and some of the responses. He posted that he was selling his shares when the stock was around $16 ½, which was a good call. Obviously, no one is buying this stock based on the fundamentals: For the 3 mos. ended 3/99, revenues increased 11% to $401K. Net loss applic. to Common totalled $7.4M. The price to sales ratio is about 275. A kicker is that there is some speculation about a possible IPO of HyperTV Networks. The 52 week low on this stock is $1.50 while the high eclipsed $25. It is around $11 now. It will be interesting to see if it holds here or if it dips into the single digits. This stock has a lot of potential, but I'm not buying yet. Other opinions? StockHawk