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Strategies & Market Trends : Stocks Crossing The 13 Week Moving Average <$10.01 -- Ignore unavailable to you. Want to Upgrade?


To: James Strauss who wrote (7117)12/10/2000 2:38:05 PM
From: James Strauss  Respond to of 13094
 
ETYS...

Here is something I posted on the ETYS thread...

Caveat: I own the stock...
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I think ETYS has seen the worst... Now does look like a good time to position oneself... With a new warehouse they have addressed last year's fulfillment concerns... They are up 100% in revenues 2nd Qtr last year to 2nd Qtr this year... I was very pleased with how fast they shipped my orders this year...

With a price/sales ratio under 1.0 and triple digit revenue growth we may actually see some black ink earlier than 12 months out...

It looks like a bottom was put in on November 22nd...
bigcharts.com

We should see a breakout from this trading range in the 1 1/2 area soon... It should begin trading in a 2 3/8 to 4 3/8 trading channel... A look at the Momentum and MACD indicators shows positive movement...

My sense is that there will be some positive earnings surprises in the next few qtrs as the losses shrink faster than the street expects... We could see the stock trace back to its first resistance area around 20.00 in the next twelve months as revenues accelerate while losses shrink... We could further see a run to the 40.00 area at the first hint of profitability... From then on, continued growth could re-step the stock price to the 60.00, 70.00, and 80.00 areas... Not a bad return for a stock under 1.50...

But, ETYS will need to do a lot of things right to make this happen... So far, they seem to be on the right track...

As for Toys R Us... They're going to learn, the hard way, what ETYS learned last year... You don't outsource your fulfillment... You lose control... It wouldn't surprise me if somewhere down the road we hear about conflicts of interest between similar items sold by Toys R Us and Amazon...

ETYS is the pure play here with #1 status and band name recognition on the internet...

Jim