Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Bill Harmond who wrote (79733)	10/6/1999 2:14:00 AM
From: GST	Respond to of 164684

Grab a parachute

To: Bill Harmond who wrote (79733)	10/6/1999 9:30:00 AM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

Price: $64 1/4 Estimates (Dec) 1998A 1999E 2000E EPS: d$0.63 d$0.40 d$0.26 P/E: NM NM NM EPS Change (YoY): NM NM Q3 EPS (Sep): d$0.18 d$0.10 Cash Flow/Share: NA NA NA Price/Cash Flow: NM NM NM Dividend Rate: Nil Nil Nil Dividend Yield: Nil Nil Nil Opinion & Financial Data Investment Opinion: D-2-1-9 Mkt. Value / Shares Outstanding (mn): $12,545 / 193 Book Value/Share (Jun-1999): $1.20 Price/Book Ratio: 53.5x ROE 1999E Average: NM LT Liability % of Capital: 1.8% Est. 5 Year EPS Growth: NM Stock Data 52-Week Range: $53 1/2-$165 Symbol / Exchange: PCLN / OTC Options: None Institutional Ownership-Spectrum: NA ML Industry Weightings & Ratings Strategy; Weighting Rel. to Mkt.: Income: Underweight (07-Mar-1995) Growth: Overweight (07-Mar-1995) Income & Growth: Overweight (07-Mar-1995) Capital Appreciation: In Line (28-Jan-1999) Market Analysis; Technical Rating: Below Average (28-Dec-1998) The views expressed are those of the macro department and do not necessarily coincide with those of the Fundamental analyst. For full investment opinion definitions, see footnotes. Investment Highlights: * We are resuming coverage of PCLN with an Accumulate/ Buy rating. * Priceline.com?s fundamentals remain strong. Revenue increased 126% sequentially in Q2 to $112 million, crushing our estimate of $66 million. The increase was driven by strong new customer acquisition (850,000 vs. 530,000 in Q1) and increased fill rates (45% vs. 27% in Q1). * Importantly, Priceline?s key value propositions to both consumers (cheap prices) and suppliers (low-cost distribution channel that protects brand and fare structure) appear to be proving themselves. * Based on the Q2 strength, we raised our revenue estimates significantly, from $300 mm and $450mm in 2000 to $475mm in 1999 and $750mm in 2000. Our Q3 estimate is now $145mm. * The company raised $64mm through an equity offering in August and added Continental as an airline ticket supplier. It continues to make progress in its hotel, financial services, and new car businesses, although these still contribute a small percentage of gross profit. It also announced plans to launch rental car and grocery services. * As a result of seasonality in the airline ticket business, we do not expect the company to exceed our Q3 revenue estimate by as wide a margin as our Q2 estimate, Sequential growth of offers and revenue, which should still be a strong 30%-40%, is not likely to reaccelerate until Q1. Comment United States Internet Software & Services 6 October 1999 Henry Blodget First Vice President Daniel Good Industry Analyst Priceline.com Resuming Coverage with Accumulate / Buy ACCUMULATE Long Term BUY Reason for Report: Resuming Coverage Merrill Lynch & Co. Global Securities Research & Economics Group Global Fundamental Equity Research Department RC#20127914 74 75 76 77 78 79 80 81 82 0.054 0.055 0.056 0.057 0.058 0.059 0.060 0.061 0.062 0.063 1996 1997 1998 1999 Priceline.com Inc Rel to S&P Composite Index (500) (Right Scale)

To: Bill Harmond who wrote (79733)	10/6/1999 9:47:00 AM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

Hindery, Head Of AT&T's Cable And Internet Operations, Steps Down OCT 06,1999 NEW YORK -(Dow Jones)- AT&T Corp., in the midst of a high-profile dispute for not giving rival Internet-service providers direct access to its recently acquired cable television systems, Wednesday announced the departure of Leo J. Hindery Jr., head of AT&T's cable and Internet businesses. New York-based AT&T (T) said Hindery is leaving his post as president and chief executive officer of AT&T Broadband & Internet Services, or ABIS, to "pursue other interests." Hindery will continue to serve as a "strategic advisor" to AT&T CEO Michael Armstrong on cable-related issues. Daniel Somers, currently senior executive vice president and chief financial officer of AT&T, will assume responsibility for ABIS's day-to-day operations until a permanent replacement for Hindery is named. In addition, AT&T said Amos Hostetter, nonexecutive chairman of ABIS and an AT&T board member, will spend more time at ABIS' headquarters in Denver, working on the development of AT&T's broadband strategy, staffing and industry relations. Armstrong said the company's plans to roll out new broadband services remain on target, including cable-based telephone trials in eight cities by the end of the year. In recent months, AT&T and America Online Inc. (AOL) have been involved in a high-profile dispute over access to the millions of homes AT&T is upgrading from traditional cable service to high-speed Internet access. Shares of Excite At Home Corp. (ATHM) have gyrated in recent days amid persistent rumors that controlling shareholder AT&T is exploring a deal with AOL that would involve major changes for Excite At Home. AOL has asked the government to force AT&T, now the largest cable operator in the U.S., to open up its cable lines to AOL and other rivals in the name of open access. Excite At Home is the exclusive provider of Internet service for customers of AT&T and some other cable systems. Making matters even more complicated, Hindery publicly sparred with Tom Jermoluk, Excite At Home's chairman and CEO. The New York Times Wednesday reported AT&T has decided to offer rivals access within a few years and is trying to find ways to demonstrate that commitment. With such a pledge, AT&T could deflect stringent conditions that could be placed on its cable operations by municipal and federal regulators. AT&T has said that it cannot move more quickly to open its cable networks because of a contract that obligates it to give exclusive cable access until 2002 to Excite At Home. AT&T inherited the exclusive contract with Excite At Home when it acquired the cable systems of Tele-Communications Inc. earlier this year. Hindery had been head of TCI. Copyright (c) 1999 Dow Jones & Company, Inc. All Rights Reserved.