wayne.. found some just posted DD on EINC... what are your thoughts?? worth buying in here at 4 1/2?
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By: iamnomad
Reply To: 9 by stipp Tuesday, 31 Aug 1999 at 11:27 AM EDT
Post # of 13
Stipp et al.......
I just got in this AM as a result of an e-mail of corporate info from one of the principals. It looks good to me. Their growth is irrefutable & they shouldn't have to do any $$$ offerings since they have enough cash for the next year......and NO DEBT!
The release is as follows: (it's long!)
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Hi there;
Last week, after receiving a daily barrage of emails for weeks on end, I promised to forward a complete corporate profile on our publicly traded parent, EquityAlert.com, Inc. (Symbol: EINC). My timing could not be better. Not only has EquityAlert.com broken several milestones, including surpassing the 100,000 subscriber mark, but for the first time we've also just received analyst coverage - with a short term target price of $10.00, which is more than double our recent trading range.
Though flattered and overwhelmed, I'm not necessarily surprised by the strong interest in our company in light of the dramatic rise of online stock traders like you, our supporters and friends. After all, last week Monday, Gomez Advisors released a Harris Interactive poll expecting explosive growth in online stock trading, declaring that an estimated 3.5 million people plan to open online stock trading accounts within the next 6 months. That's a whopping 68% increase in only 180 days! Hang on for the ride.
Before you get to the EquityAlert.com profile and analyst coverage below, allow me to present you an abbreviated version of my weekly comments. For those interested in getting a head start on the 'street', here's a complete list of this week's upcoming IPOs, stock splits and earnings announcements (http://www.equityalert.com/news/index.htm).
Perhaps you can use this information to win this week's Trader's Challenge. Last week's winner was Mr. Raymond Santopietro from Malden, MA, who chose five stocks that produced a return of 76.4% for the week and earned him a cash prize of $1000.00. Raymond's portfolio consisted of Vista Info. Solutions Inc., Datalink Corporation, Angeion Corporation, Transportation Components and Net2Phone. Congratulations Raymond for handily beating some of the best minds on Wall Street !!
Remember, you can also win by referring a friend to EquityAlert's weekly Trader's Challenge. If this person wins the Challenge, we'll send him or her a check for $1000 and $2000 to you !!! You can't beat that, nor can you beat the incredible moves made last week, during which time our research staff delivered nearly 1,000 timely commentaries on the market's biggest movers; both up and down. Among the companies highlighted, we mentioned bamboo.com, Inc., Bank One, Mortgage.com, ImageX.com, Inc., Net2Phone, Dave & Buster and hundreds of others. Congratulations to all of you who successfully took advantage of these incredible moves!
For those that want a heads up on another potential big mover, please read the EquityAlert.com profile that follows. Until next week, good luck and good trading.
Sincerely,
Harvey Singh
EquityAlert.com
mailto:harveysingh@equityalert.com
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EQUITYALERT.COM, INC. (SYMBOL: EINC)
CORPORATE SUMMARY
In a little under 90 days and within a very competitive marketplace, EquityAlert.com, Inc. (Symbol: EINC) has decisively created one of the fastest growing online trader exclusive communities. Starting with no subscribers on June 7, EquityAlert.com has exponentially grown to over 120,000 active online investors - almost twice the size of the Street.com (TSCM - $19.00) - and on its way to becoming "the largest" online trader exclusive community in record time.
In fact, so compelling is EquityAlert's content and suite of trading tools that its subscriber base is currently growing by some 15,000 subscribers per week, a rate equivalent to that of Multex.com's Investor Network (MLTX - $18.50).
To further place EquityAlert.com's extraordinary growth in prospective, examine the growth of the Ragingbull.com and SiliconInvestor.com, two of the most popular financial sites currently. It took the RagingBull.com almost one year to go from 7,500 subscribers (October 1998) to its current 200,000. The slothful SiliconInvestor.com wins the prize - taking almost 4 years to reach its current 150,000 subscriber base. Amazingly, EquityAlert.com is on schedule to overtake both these sites within a matter of weeks.
Mr. Mandeep Virdee, a technology analyst with Oxford Barnes Equities Ltd., states, "At a recent market price of around $19.00 per share, the Street.com has a market capitalization of $451 million or $6833 per subscriber. If EquityAlert.com had an equivalent valuation, the Company's market capitalization would be approximately $820 million or around $20 per share. With a current market cap of approximately $165 million, we believe EquityAlert.com to be grossly undervalued, representing immediate opportunity for the aggressive investor.
"Based on EquityAlert.com's efficient use of capital and technology, solid prospects of continued rapid expansion in a marketplace growing at a triple digit rate and a proven and innovative management team, we confidently expect EquityAlert.com to surpass our short term target price of at least $10.00, and possibly reach a fair valuation of around $20.00 per share before mid-year 2000."
Mr. Virdee continues, "Going forward, we expect EquityAlert.com to attain the largest market share of any financial website within a matter of a few quarters, making it a potential target for an E*Trade or other financial services company looking to quickly acquire market share or customers."
THE SMART MONEY IS MAKING ITS MOVE
The Internet has revolutionized the world, enabled the masses and leveled the playing field. As the fastest growing medium in history, the Internet has made possible some of the most dramatic economic and behavioral shifts in memory. Never before has such opportunity and peril co-existed on such a large scale. Of the many industries that have been turned "upside down", none have been more affected than the investment field - just ask the executives and brokers at Merrill Lynch, and just about every other traditional securities firm in the country.
According to a recent survey conducted by Gomez Advisors, an estimated 3.5 million investors intend to open online stock trading accounts in the next 180 days alone, increasing the current total from 5.1 million to 8.6 million individual online investors and growing at an annualized rate of 136%. With the total number of online investors expected to further increase to over 24 million by the year 2002 (only 16 months away) and representing a potential market in the hundreds of billions, the smart money is just beginning to flow into this market.
The giant Japanese Internet holding company Softbank Corp, which made early investments in E*Trade Group, Inc. and Yahoo !, recently agreed to invest $40 million in Tradescape.com, a New York day-trading firm that is merging with Houston based Momentum Securities. Earlier this month, The New York Times reported that some big financial firms are considering buying day-trading firms. Just last week, Texas financiers Sid and Lee Bass invested $40 million for 40% of TradeCast, a closely held firm that makes day-trading software.
What's exciting about the Internet is that it has completely flattened the playing field - even a small company can go from relative obscurity to the leading market position in the blink of an eye - representing great opportunity for the pro-active investor. While our opinion is obviously biased, we believe EquityAlert.com will be one those companies to enjoy the benefits of the bourgeoning tide towards self-reliance on the part of millions of investors. But as always, we'll let you be the final judge.
"THE MOST INFORMATIVE WEB SITE ON THE NET"
Developed exclusively for sophisticated, pro-active online investors, EquityAlert.com was officially launched just under 90 days ago with the goal of becoming a leading provider of the most compelling and pragmatic source of financial information for traders on the prowl for new trading ideas.
Even in today's ultra-competitive and fast paced world, nobody expected EquityAlert.com's management team to reach this goal so decisively and so quickly. In fact, in less than 90 days, EquityAlert.com has become one of the fastest growing online trader exclusive communities on the world wide web. In doing so, EquityAlert.com has also garnered the respect of one the most sought after of any Internet demographic - the online trader. Here's just a small sampling of recent accolades received by EquityAlert.com:
"I get several stock reports delivered to my mailbox everyday. One of them mentioned your site and I checked it out. I was so impressed I invested in your company the very next day. New ventures are always exciting, keep up the enthusiasm, I'm sure you will succeed!"
"I found that this site is the most complete that I have found. I spend about three hours a night looking for good stock buys, and now I have found a site that gives me everything that I need."
"Just wanted to say that this is by far the best sight I've found. Very informative and also layed out nicely. I will be recommending it to all of my friends and everyone in my investment club."
"I found your site by accident last night, and I'm glad I did. It looks to be one of the most useful sites out there, one that I can use immediately."
"I look forward to turning a lot of people on to your site! It's one of the best financial sites I have seen."
"Keep up the good work. You have the most informative web site on the net."
"Equity Alert is the best website for tracking hot stocks. The website has come a long way in assisting active traders, and I appreciate its continuous improvement."
"EquityAlert.com is usually the first site I visit each day and you are doing a tremendous job providing the most timely info in an exciting and easy to use format. I heartily applaud your success !"
"Having stumbled onto your site I was stunned by the features you have incorporated."
EquityAlert.com's fast growing subscriber base enjoys a broad suite of traditional trading tools, including IPO information, stock quotes, earnings surprises and announcements, stock buy backs, stock splits, SEC filings, new analyst coverage, upgrades and downgrades, a powerful, fully customizable interactive charting system, and comprehensive trading screens involving up to 26 different data fields, such as earnings growth, weekly price changes, short interest, insider and institutional ownership, market cap, and many more.
While this information is extremely important to investors in general, EquityAlert.com has gone one step further and developed what may well be the "life-blood" of the pro-active trader by providing exclusive, proprietary real-time coverage on the biggest traders of the day - while they're happening - allowing accomplished investors to take advantage of stock moves during the initial crucial minutes and hours of huge momentum moves.
Supplementing this powerful trading tool is the recent addition of the "Traders Consensus", a unique real-time barometer of investor sentiment on individual stocks and key market indexes. A change in investment sentiment, whether positive or negative, can result in significant and quick stock price moves. The Trader's Consensus compiles expected short term moves (sentiment) from EquityAlert's subscriber base, one of the largest and most sophisticated group of online investors, and displays this information in real time - again allowing accomplished investors to take advantage of any sudden or subtle changes in sentiment.
Along with these important features, EquityAlert.com is in the midst of developing and launching a number of new and equally innovative services that promise to be invaluable to the legions of investors currently going online and seeking compelling and pragmatic information. More on this at a later date.
"TWICE THE SIZE OF THE STREET.COM"
In a little under 90 days and within a very competitive marketplace, EquityAlert.com has decisively created one of the fastest growing online trader exclusive communities on the world wide web. Starting with no subscribers on June 7, EquityAlert.com has exponentially grown to over 120,000 active online investors - almost twice the size of the Street.com (TSCM - $19.00 per share) - and on its way to becoming "the largest" online trader exclusive community in record time.
The Street.com, which started with a base of 6,700 subscribers as at December 1997, took a full year and a half to grow to 66,000 (June 30, 1999). In fact, so compelling is EquityAlert's content and suite of trading tools that its subscriber base is currently growing by some 15,000 subscribers per week, a rate equivalent to that of Multex.com's Investor Network (MLTX - $18.50).
To further place EquityAlert.com's extraordinary growth in prospective, examine the growth of the Ragingbull.com and SiliconInvestor.com, two of the most popular financial sites currently. It took the RagingBull.com almost one year to go from 7,500 subscribers (October 1998) to its current 200,000. The slothful SiliconInvestor.com wins the prize - taking almost 4 years to reach its current 150,000 subscriber base. Amazingly, EquityAlert.com is on schedule to overtake both these sites within a matter of weeks.
EquityAlert.com's business model involves generating revenues from sponsorships, advertising and subscriptions from value added services, such as pay per view analyst reports and co-branded content feeds. The online investor represents one of the most desirable of any demographic on the web, being better educated, having a higher income and net worth than other online user. Consequently, emphasis is being placed on getting market share, with the goal of becoming the largest online trader exclusive community offering the most compelling and pragmatic financial information.
Like most aggressive companies seeking market share, EquityAlert.com plans to operate in the "red" for at least the next 12 to 18 months and expects nominal revenues during the next 4 quarters. In anticipation, the Company has prudently pre-funded its operating needs in advance. As at June 30, 1999, the Company had no debt and just under $1 million in cash - enough to fund the Company's current operations without any additional capital infusion for almost 3 years.
$10.00 SHORT TERM TARGET PRICE
Analyst Mandeep Virdee of Oxford Barnes Equities Ltd states, "The Internet is the great equalizer. Never in history could a little, unknown entity like EquityAlert.com, Inc. gain such market prominence in such little time. Despite not having the 'first mover advantage', EquityAlert's savvy management team has delivered exactly what the most sought after audience - the online investor - wants, and has done so with surgical-like precision without the horrendous burn rates of direct competitors like the Street.com and Multex.com.
"At a recent market price of around $19.00 per share, the Street.com has a market capitalization of $451 million or $6833 per subscriber. If EquityAlert.com had an equivalent valuation, the Company's market capitalization would be approximately $820 million or around $20 per share. With a current market cap of approximately $165 million, we believe EquityAlert.com to be grossly undervalued, representing immediate opportunity for the aggressive investor."
Mr. Virdee continues, "Based on EquityAlert.com's efficient use of capital and technology, solid prospects of continued rapid expansion in a marketplace growing at a triple digit rate and a proven and innovative management team, we confidently expect EquityAlert.com to surpass our short term target price of $10.00, and possibly reach a fair valuation of around $20.00 per share before mid-year 2000.
"Going forward, we expect EquityAlert.com to attain the largest market share of any financial website within a matter of a few quarters, making it a potential target for an E*Trade or other financial services company looking to quickly acquire market share or customers."
INNOVATIVE MANAGEMENT
Presiding over EquityAlert.com's on-going development and enhancement is our President and CEO, Mr. Jasvir S. Rayat, a former broker and veteran day trader. While most people think day trading is a relatively new phenomenon, Mr. Rayat has actually been actively trading since the mid 80's. His years of experience, intense focus on what's actually important, versus journalistic banter, and his ability to attract and motivate gifted people is largely responsible for the success of EquityAlert.com. Along with myself, Harvey Singh, Mr. Rayat is assisted by a number of talented people - all diligently working to make EquityAlert.com the largest trader exclusive community on the world wide web. Their backgrounds follow:
Harvey Singh - Graduating with specialties in Business Administration and Marketing, I enjoyed and excelled as a corporate troubleshooter and soon found myself climbing the ladder from Area Manager to Corporate Manager in a major electronics firm. From here I decide to expand my horizons, becoming self-employed and eventually becoming one of the first to join EquityAlert.com. My focus is to help make all members of the EquityAlert.com team work even more industriously to improve the Web site's offering and to refine its services.
Kataryna Puhacz - Ms. Puhacz, who is responsible for the technical direction of EquityAlert.com, has spent several years creating and deploying large-scale Internet infrastructures. Specializing in developing and implementing multi-tiered business solutions through the use of data-driven technologies, she has helped a number of information-based sites across several industries to harness the power of the Internet to grow their businesses. Ms. Puhacz continues to do so now, ensuring EquityAlert.com evolves into one of the most prominent online active investor and day trader communities in existence.
Dr. Ryan Christiansen - A top-of-the-line graphics software programmer who is responsible for the crisp and clean look of EquityAlert.com. A well-rounded education, which includes a degree specializing in astro-physics, has increased his understanding of the latest multimedia software, making static ideas come to life via the Internet. Dr. Christiansen's integrated programming knowledge in the most common and robust languages used today, combined with his aptitude at Web site development work well together in evolving EquityAlert.com into one of only a handful of Web sites that is maximizing the full potential of the medium.
Gurm Kundan - Having graduated with one of the most valuable degrees from the nation's top university, Mr. Kundan's extensive skill in the field of Communication has made him a valuable member of the EquityAlert.com team. His past experience in relating complex technical issues into everyday language has been appreciated by many, including one of the world's top scientific research institutes. His extensive knowledge of the Internet and its ever-changing capabilities and limitations has proved very useful in refining the offerings of EquityAlert.com, allowing the Web site to flourish where other sites have floundered.
CORPORATE SNAPSHOT
Symbol: EINC
Shares Issued: 41,382,186 (20,000,000 restricted)
Year End: December 31
Cash: $ 900,000.00 (As at June 30)
Debt: - 0 -
Burn Rate: $30,000 /mo
Contact: Mr. Gurm Kundan
604-659-5009
DISCLAIMER:
Readers are advised that this electronic publication is issued solely for information purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy. The opinions and analysis included herein are based on sources believed to be reliable and in good faith but no re
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