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Technology Stocks : NTRG - Netergy Networks (formerly 8x8, Inc.) -- Ignore unavailable to you. Want to Upgrade?

To: Dan Hamilton who wrote (45)	3/30/2001 9:23:30 PM
From: Jay King	Respond to of 53

All VoP pure plays have low valuations except SONS, which trades at about ten times CLRN. I am hedging my bets in this market, currently holding NMSS, AUDC, SONS, SBSE and CTLM. -Jay

To: Dan Hamilton who wrote (45)	3/31/2001 10:38:53 AM
From: pirate_200	Read Replies (1) \| Respond to of 53

> NTRG is trading at about half of book value. Using the true value approach, > even if you count only current assets minus all liabilities, they'll hit that at 80 > cents per share. They are trading less than the cash on hand right now. > > What gives? In my opinion: 1. It's a confidence problem in management. Look at the news starting in January of this year, Netergy had a mass firing/walkout in Canada, a CEO who resigned then apparently came back as a VP, another VP who joined and within a span of about a week resigned, along with a cancelled quarterly conference call with analysts. As an analyst or investor, how would you take that news - or lack thereof? 2. Netergy has been promising significant partners for their equipment, specifically the iPBX which was just announced as "commercially" available. I expected to see a large reference customer at product introduction and saw none. They later announced some startup as a customer, which just makes the whole thing look even worse. 3. There has been no public communication by Netergy's management to the investing public about what is going on at the company. They have that opportunity again this quarter, reporting in April, to talk to the investing public and analysts. If they don't communicate, how do they expect to have any Wall St. following? Is it a buy here? Who knows. The company's engineers have done a good job of producing competitive, leading edge products. Netergy has some probably very large chip deals with ST Microelectronics and Alcatel as part of that already announced relationship. They supposedly had a strong lead with their iPBX product but that might have all been squandered now. Bad management kills great engineering, every time.