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Technology Stocks : Drugstore.com Inc - (Nasdaq : DSCM ) -- Ignore unavailable to you. Want to Upgrade?

To: DavesM who wrote (108)	3/28/2001 7:59:57 PM
From: Don Green	Read Replies (1) \| Respond to of 132

Drugstore in this week's Business week What kind of value would you put on online pharmacy Drugstore.com Inc. (DSCM )? Since the company had $130 million in cash at the end of the year, you would think it would be worth at least that much, right? Wrong. Drugstore.com's market cap is a measly $80 million. Why the discrepancy? "Investors believe that Drugstore's management will blow through the remaining cash and end up closing operations," says Aram J. Fuchs, CEO at Fertilemind.net, a New York equity research firm. One key reason for his skepticism is that the Bellevue (Wash.) company, which lost $193 million on sales of $110 million last year, needs a minimum of $450 million in sales just to break even. "That's a lot of revenue for a company that's peddling vitamins and drugs," says Fuchs. Drugstore.com CEO Peter M. Neupert fires back that there is "no chance I'll run out of money."