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Technology Stocks : NOPT: Northeast Optic Network, Inc -- Ignore unavailable to you. Want to Upgrade?

To: ahhaha who wrote (237)	7/21/1999 9:11:00 PM
From: ahhaha	Read Replies (1) \| Respond to of 708

I asked Cosmo what is attractive fundamentally about this company, but he declined to respond. I read the entire thread and excerpted a few posts which give an idea about this company. Reading the company's site still leaves one in the dark. To: +jerryriti (156 ) From: +RobbRacer Monday, Jul 19 1999 10:22PM ET Reply # of 257 Jerry, You have a huge opportunity to add to the market cap of this stock. Instead of giving me snide remarks explain the financial ramifications of the technology. Be my tudor! Show me what you understand and what I fail to see with facts. Explain to me how this fiber optic "carrier of carriers" is going to translate into exponential growth with 5MM in sales in 1999 to what in 20XX. Explain to me how they will pay off there 180MM in debt @13% without adding dilution. The fundamental objective of all companies are to make money. Just show me how they will do it in a logical manner. All you people own this stock and not 1 person will even attempt to explain why this is such a great financial opportunity with numbers and facts. If you do this, think of all the people on the sidlines that will buy this stock. If Gilder can add 500MM with four paragraphs certainly you can add a couple MM with some well thought out analysis.I'm not even being a smart ass. I challenge anyone to explain in a logical manner with facts and numbers why this is a great stock and you will single handedly clean up the entire short position and be responsible for creating true value. To: Dale Baker (82 ) From: Kailash Tuesday, Jul 13 1999 2:49PM ET Reply # of 257 Their technology in a sentence: NorthEast Optic Network, Inc. is a facilities-based "carriers carrier" that provides advanced, high bandwidth, fiber optic transmission capacity for lease to certificated carriers on the Network's interstate, intrastate and local loop facilities. Carriers riding the NEON(R) system into Manhattan have the benefit of being the first to be deployed on NEON(R)'s Dense Wave Division Multiplexing (D-WDM) optical backbone provisioned with NEON(R)'s OC-192 system furnished by Nortel. - So they get their equipment from Nortel, put it in the ground, and lease out the lines. There's no proprietary technology - nix. I mean, this is a fine company, they should even break even and make a small profit over the next twenty years, like any other utility company, which is what this is. "The Company anticipates that it will continue to experience negative cash flow as it expands the NEON fiber optic network" - which is going to take a while. Here's the latest quarter earnings release. Sales are up and so are losses -- mainly interest expenses, since they rely heavily on junk bond money; when that runs out they'll use the proceeds from the stock offering (see 10K). "The increased [cost of sales] reflect the addition of lease expenses, right of way fees and property taxes" - that sort of thing. I don't see earnings going through the roof any time soon. To: zebraspot (87 ) From: Cosmo Daisey Tuesday, Jul 13 1999 4:56PM ET Reply # of 257 zeb, There are schools in NYC, Wash, Chicago, and other major cities. A few traders do very well. There are trading rooms set up with level 2 machines that are included in the rent you pay for the spot. A friend of mine called me from a daytrade room yesterday and asked me if I was watching CNBC when they announced NOPT move and asked what I thought about the stock. I told him I had positioned @ 21 and the price was @ 30. They watch the price movement and CNBC for breaking news. They trade on teenies (1/16) and get in and out. My friend called when CNBC covered the move by TERN and learned I was already in ten points ago. It's a different game than the people on this board pretend they are playing. It seems there is some magic or mystique in telling people you are a day trader but the facts are most people lose their money in a month. I give talks at AAII and other investment groups and it seems everybody wants to be a daytrader but the strategy that has worked in the past and works now is to position trade in good quality, the next technology group is a good place to be. Stocks like NOPT will have some volatility and perhaps you can make a teenie or two but the overall trend will be higher in the short term. I suspect that the shorters that announced their position and told the longs how dumb the Gilder followers are will be a little more than disappointed in about three days. cdaiseyPhD@wharton.edu To: RobbRacer (91 ) From: CHIP HUNTER Tuesday, Jul 13 1999 7:11PM ET Reply # of 257 What is this LONGS?? Look at the interest rate on the LT DEBT.... Equity: Common Stock $.01 Par, 3/99, 30M auth., 16,077,738 issd. Insiders control 65%. IPO 7/98, 4.5M shares $12 by Credit Suisse First Boston. (As of 12/98) LT debt: $180M @ 12.75%, $128K @ 13%. To: Mark Fleming (132 ) From: Cosmo Daisey Friday, Jul 16 1999 11:04AM ET Reply # of 257 Mark, Northeast Utilities (NU) held an equity position in NEON as a result of cash and stock to string the lines for NEON. NU uses the cable as a ground and inside the cable is the fiber. The major hospitals (picture quality) and virtually all the universities in New England are hooked up to NEON system. As you know, the internet is managed mostly by the university system with installed equipment at MIT in Cambridge and Central Connecticut State University. NU has had to ease out of its equity position to raise cash to update their nuke plants that were shut down but NRC. The investment managers at NU had hoped to hold the stock but were forced to sell and that has been holding the stock price back. The price would have been higher long ago without the pressure from NU. It is my understanding that NU is done selling so the move forward probably would have happened to some extent without the Gilder Effect. cdaiseyPhD@insideNU.com