To: valuehunter who wrote (11297 ) 9/25/1999 9:08:00 AM From: Carl R. Respond to of 17679
Such an ad (i.e. a vanity ad) would make you feel better, and might even make Hugh feel better, but unfortunately people's memories are short, and it would be long since forgotten come November. Yes, it might produce a temporary price spike in Ampex stock, allowing you to exit, but this isn't a pump-and-dump stock; they are trying to build a real lasting internet video network. For that purpose wouldn't it be more effective to run a spot once the channel was live? How about a spot with Hugh inviting his old viewers to check out his new channel? Next question, why is all this pre-publicity not exciting investors? The answer is that probably some people call their broker, who looks up Ampex, and says, "they don't even have analyst coverage". We've had several online investor surges, but as Ampex stock has made clear, online investors are fickle and have a short attention span. Thus the price spikes they give Ampex don't have much staying power. To get sustained price appreciation, we need some shares locked away in broker managed accounts, too. To get that we need some credibility on the street, and that starts with analyst coverage. Let's hope that Ed has been spending some of his time recently courting analysts. He said "you only get one shot, so you better have your story right". Well the story is right, and the time is now. We need to separate ourselves from the seedy, fly-by-night internet penny scam stocks, and the only way to do that is to have analyst coverage. Tiny VDAT with a market cap of $52 million has 1 analyst. IATV has 2, ONT with virtually no revenue at all has 3, and the only company with much internet video revenue so far, ITVU, has 5. In my opinion Ampex will have more internet video revenue this quarter than any of these companies, and only ITVU has any real hope of having more revenue than Ampex. By next quarter when everything is live, none of these companies will be even close to Ampex in revenue. Thus Ampex should have not 0, and not 1, but 5 analysts covering them. Then we'd see more price stability, and price stability at a higher level. Carl