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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: David C who wrote (29216)	7/10/2000 12:39:35 PM
From: Rande Is	Respond to of 57584

Thanks, David! Yes, there will be a continuing and growing need for towers for microwave, cellular and other wireless broadcast methods. . . so it is a valid point. However, I am not convinced that AMT is the best choice. . . I would need to look further into the industry to see who is making the most towers. . . I am also a bit concerned about the amount of money the company is losing. For the three months ended 03/00, revenues totalled $115.5 million, up from $42.4 million. Net loss before extraordinary item totaled $37.6 million, up from $9.5 million. Revenues reflect acquisitions consummated. Net loss reflects increased interest expense and cost of revenues. Net loss is up about 600% over last quarter. . . with revenues up approaching 300% . . . where is all that money going? With a 300% increase in revs, one would think that there would be a change in financial picture. . . it could be that the expansion costs are eating up the cashflow. . .so the question would be what amount of business is from leasing services to telecom companies. . . compared to constructing towers. . . but that requires long-term thinking. . . which leads to the question of HOW long term are we talking? This model could be looking at 5 years out before a turnaround. So it is highly speculative between here and there. Can the stock perform between now and then? . . . that is anyone's guess. . . there is little out there for comparison. . . though I am seeing this stock getting analyst attention more and more. . . but have a feeling it is mostly for speculative purposes on the hot wireless sector. Rande Is