Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : IATV-ACTV Digital Convergence Software-HyperTV -- Ignore unavailable to you. Want to Upgrade?

To: the gator who wrote (13045)	4/3/2002 1:40:31 PM
From: richard badauskas	Read Replies (1) \| Respond to of 13157

Looks as if IATV will test all time low around $1.25 for the third time. Seems to be lots of sellers around. IMHO if they continue to sell as they have over the last few weeks IATV is heading towards $1.00. I found the recent conference call rather unsettling as there was no news that indicated that decent cash flow contracts are in the works. Cash burn still continues at a high rate. IMHO this explains the weak (collapsing) stock price. The current quarter will see cash burn/quarterly loss jump due to Disney litigation. The excuse that SpotOn has not been adopted due to a slack advertising market seems rather disingenuous (isn't it meant to save advertisers lots of money by avoiding a shotgun approach to spending advertising dollars). If the advertisers are not buying this product because they do not see this cash saving or they really do not want to advertise in a weak market then IATV is really "up a creek without a paddle". IMHO the business plan has a major problem. How do you justify spending lots of millions of dollars on a business that generates a substantial loss each quarter? in the hope that someday/somewhere/someone will start paying big money for your products (especially after you have already spent very substantial sums approaching lots of potential clients who are not buying). If the burn rate continues at its current rate then it is fair to project where the cash balances will be at the end of this year and value the business accordingly. Say $55M or around $1.00 a share until we hear some positive news from the company. Have sold my entire position at various prices under $2.00 at a heavy loss (but that is life). Some small comfort exits in the fact that the stock is now lower in price than my average sale price. IMHO we may see well under a dollar soon. This has happened to a lot of tech stocks with cash and very little sales. Some of these techs get really crushed and bought out by larger fish in the market.