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Technology Stocks : InfoSpace (INSP): Where GNET went! -- Ignore unavailable to you. Want to Upgrade?

To: brb who wrote (10381)	7/27/1999 1:58:00 PM
From: EenieMeenie	Respond to of 28311

I like GNET. I think they are going to be around for awhile. They have smart management and I like their products. However, it is not clear to me how they are worth $2B+ dollars. I guess the same thing can be said about most Internet stocks. You can't explain it with growth of earnings alone, it has to be something involving a lot of intangibles I think, like name recognition, the number of subscribers, some type of real estate---ultimately there has to be something of value. Nonetheless, have you ever wondered what the heck you were doing when you invested in a company like GNET? I do all the time, not because I don't like the company but the value is just not there. Moreover the risks are too great. For goodness sakes GNET is pretty big in the web community right now, but I know family-run plumbing companies that have more revenues than GNET. Hey Russel, I love you spirit, dude, but you know as well as I that you could rebuild GNET from the bottom for 500 million. Shouldn't the replacement cost (at least to some extent) dictate the market value? How many times would GNET need to double earnings to get to a PE of 23? What will it cost them in cash do you think? How much time? Russel won't move as fast when he's 40. Do think that as time goes on GNET's growth prospects will be as bright? Could it be that GNET is a little too expensive right now? Do you think Y2K fears are going to scare individual investors like yourself away from the internets? How badly do institutions want in? Do institutions really think that the internet is really where the money is or was the thinking "I can't stay out, the opportunity cost will be too high." Let me say that I have a love hate relationship with GNET. One minute I love the fact that I own the stock, the next I hate it. I love it when I go up, I hate it when it goes down. Its sort of like going to the casino. You love the casino when you come out a winner and you hate it when you come out a loser. GNET, I think alot like a casino in the sense that you love it or hate it depending on whether or not it is making money for you, primarily, I think, because you don't know how much money you'll make the next time around. I am going to drop this thread as I have dropped this stock. Good luck to everyone. Just remember a 10X increase in PROFIT will bring you to a PE of 60. How old are you going to be when that happens? There is such thing as opportunity cost and the time value of money. I think I am going to going buy a NYC taxi medallion for $250,000. It has a P/E of 4. Take care. Eenie