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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: kha vu who wrote (55195)	8/10/1999 9:44:00 AM
From: kendall harmon	Read Replies (2) \| Respond to of 120523

GLM has an upgrade this morning BCRX very nice tape so far, now pulling back some

To: kha vu who wrote (55195)	8/10/1999 10:05:00 AM
From: Susan G	Respond to of 120523

Interesting (timely!) newsletter from Steve Harmon 1999.08.10- Chernobyl. Any historians in the crowd can apply this one word to the Internet stock sector and it suddenly makes sense. The meltdown. The glowing aftermath. Translation for those of you who tossed out your Russian dictionary: what now for Internet stocks now that the correction has hammered them hard? Is this the bottom or a bottom? Having seen at least a dozen of these rollercoaster moments over the past 5 years with Internet stocks one method of evaluating the outlook centers on overall Internet industry growth. For example, if we look past the upswings and downswings in Internet stocks the one key driver has been consistent: Internet growth. That's usage both in the U.S. and increasingly more globally. Growth can be gauged by several things: 1) new users 2) venture investments 3) innovation 4) corporate adoption 5) IPO capital My estimates show there are at least another 25 million global Internet users than there were at the start of 1999. That new demand fuels new hardware, 1) New users- My estimates put another 30 million global Internet users on the map since the start of the year. That translates into access fees, hardware, bandwidth, eccommerce, software and solutions to keep up with the data flow demands. 2) Venture investments- The continued capital inflow into the Internet from venture capital is at record levels. 1998 was a record year for venture capital with about $11 billion pouring into technology ventures--and probably over half involved in an Internet or Internet-related investment. That seeds the future Internet industry as new firms tackle opportunity and add further layers of value to the entire Internet experience from consumer to corporation 3) Innovation- The part that most casual observers forget is that if it wasn't for the ability of the Internet to be dynamic, flexible, absorb new ways of doing communications and commerce then items 1 & 2 above wouldn't happen. Innovation drives capital and connectivity ahead. 4) IPO capital- More than 100 Internet companies have gone public in 1999, a record. The size and amount they've raised at IPO has gone from an average of $25 million to $30 million last year to $40 million to $50 million this year. If we do the math there that implies $4 billion to $5 billion in capital raised by Internet firms going public. Take that a step further and that means $4 billion to $5 billion of newly-raised capital that these firms have slated to be spent to grow their companies, push the industry ahead. I believe that could spell positive news for those market-leading new IPOs who now can buy, build and grow What it all means: while the stock market cools off from a sheer onslaught of Internet IPOs those firms already cashed up and pacing usage growth, market leaders in their segments, and those that are building out faster and faster services could be oversold at this point A few of the stocks I like in this vein: BackWeb, High Speed Access, Copper Mountain Networks, Xoom/Snap, Go2Net, MP3.com, F5, There's more. We'll cover them in a future report on broadband infrastructure and what it could mean. So while Wall Street simmers like the aftermath of a radioactive meltdown, the summer slowdown may continue, I expect we could see a pickup in early Fall into next year after a Y2K hiccup. In my view the most important thing to look at in a market meltdown is overall Internet industry growth - that's what I think drives value more than the Fed or mood swings. Maybe it's not Chernobyl after all but a release of some radioactive steam. (c) 1999 e-harmon.com, inc. This analysis may be shared for non-commercial purposes 100% intact, with proper copyright and attribution. Disclaimer: e-harmon.com does not make specific trading recommendations or gives individualized market advice. Information contained in e-harmon.com's NetStock! is provided as an information service only. e-harmon.com recommends that you get personal advice from an investment professional before buying or selling stocks or other securities. The securities markets and especially Internet stocks are highly speculative areas for investments and only you can determine what level of risk is appropriate for you. Also, users should be aware that e-harmon.com, its employees and affiliates may own securities that are the subject of reports, reviews or analysis in NetStock!. Although e-harmon.com obtains the information reported herein from what it deems reliable sources, no warranty can be given as to the accuracy or completeness of any of the information provided or as to the results obtained by individuals using such information. Each user shall be responsible for the risks of their own investment activities and, in no event, shall e-harmon.com or its employees, agents, partners, or any other affiliated entity be liable for any direct, indirect, actual, special or consequential damages resulting from the use of the information provided.

To: kha vu who wrote (55195)	8/10/1999 10:07:00 AM
From: Susan G	Respond to of 120523

Kha Vu, Cash in the bank (like gnet) seems to be a key to survival. Gnet got a Strong Buy from Piper Jaffrey this am. No link yet, I'll post when I see it.