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Microcap & Penny Stocks : TGL WHAAAAAAAT! Alerts, thoughts, discussion. -- Ignore unavailable to you. Want to Upgrade?

To: Jim Bishop who wrote (44094)	4/19/2000 3:08:00 PM
From: Crazy Canuck	Read Replies (2) \| Respond to of 150070

>>ADSN we have LIFT OFF!! The after burners cut in just now.<< Let's recap what just happened a few days ago . . . ASI (symbol ADSN) just signed the 5th largest airline in the world to a $4.2 million contract. They did this during the first four months of this year. There are still more than 8 months left to go in 2000 where the company will no doubt be signing and closing more contracts. Now let's focus on the ramifications of what this deal (and this deal alone) means to ASI. Before doing so, I want to state that my following calculations have excluded all the other existing contracts and service agreements that they now have. It also does not take into account any other deals that they may have in their pipeline. . . . Assuming that this $4.2 million deal has a 50% profit margin (I believe that this is a fairly conservative estimate given the profit margins in the software industry ). That would mean that they would see a $2.1 million profit on this deal alone. $2.1 million profit divided by 18 million fully diluted shares outstanding = $.12 per share $.12 per share times a relatively conservative P/E of 30 times = $3.60 per share At a current price of $2.65 this represents a 26% discount to what the company should be selling for. Now, I want to state again, that this discounted price does not take into account any contracts that may now be in their pipeline - or which will no doubt be signed in the remaining 2/3 rds of the year. It also does not take into account any of the revenue that they currently have coming in for their existing contracts with Amazon.com, Imperial Tobacco, and a host of other Fortune 100 to 1000 companies who currently are clients of theirs. You may have heard how Abby Joesph Cohen stated last week that investors now should focus on finding and investing in companies with fabulous products in development, good revenues, and good earnings. Think about the 'fabulous products' criteria when you read these following statements about this company . . . Don Richardson, industry manager for manufacturing at Microsoft Corp.,. said, "ASI's latest application, based on Windows CE and the Intermec 5020, is a brilliant example of advanced and innovative ways that the Windows CE operating system extends the power of the Windows platform to the plant floor." Kevin E. Prouty, Senior Analyst at AMR Research stated "ASI's LABORVIEW.com product closes the labor gap that many companies have struggled with over the years. It has the potential to capture real time data for an organization's resources outside the traditional time clock world by using the Internet as the foundation to manage employees throughout the enterprise." Note: For anyone interesting in following up on this company's new products, and how they are strategically significant, I have attached a link to a post from Raging Bull that explains this in more detail. ragingbull.com Now about the good revenues and earnings . . . Suffice to say that this Continental deal (excluding everything other deal that they have signed or may be about to sign) represents over 60% of their last year's revenues. There is still the bulk of the year left to go. By the way, last year's revenues grew by over 300% from the previous year as well. In summary . . . This is a growth company who is taking on the bigger players in their industry and winning. They have developed new products which are only now being brought into the market. These new products are extremely well positioned to enable the B2B giants to extend their information collection and distribution deeper into the corporations they serve. These new products are on the cutting edge, and as their target clients wake up to what they have to offer, then I believe that it is safe to say that a good amount of their growth potential has not even been tapped as yet. Crazy Canuck