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Biotech / Medical : GUMM - Eliminate the Common Cold -- Ignore unavailable to you. Want to Upgrade?

To: RockyBalboa who wrote (953)	9/21/1999 6:00:00 PM
From: DanZ	Respond to of 5582

In all honesty, I don't think that Quigley is a good investment. Here are some reasons: 1. Year to year - quarterly sales comparisons down in 9 consecutive quarters. Comparisons are down every quarter (year to year) since Q1 97. 2. One year sales growth rate -48%. 3. One year earnings per share growth -68%. 4. Inventory levels much too high relative to sales the last four quarters. They had more inventory in Q1 98 and Q2 98 then they had in sales, and their inventory in Q3 98 was 73% of sales. I imagine they will have to throw some inventory away and write it off, but I don't know what the shelf life of zinc lozenges is. 5. Zicam will give Cold-Eeze unparalleled competition (an opinion) 6. Not enough product diversification. 7. Inadequate management skills have resulted in loss of market share and inability to capitalize on the momentum handed to them after publication of their study. If you like QGLY as an investment, go for it. I won't be buying any. GumTech and other competitors in the OTC cold remedy market could cause them more pain in the near future.