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Strategies & Market Trends : Bosco & Crossy's stock picks,talk area -- Ignore unavailable to you. Want to Upgrade?

To: PuddleGlum who wrote (3466)	6/23/2003 9:04:09 AM
From: Crossy	Read Replies (1) \| Respond to of 37387

re: NasdaqNM: GORX (Innovative Companies) Puddleglum, these are really good numbers - the company earned $0.02 this quarter DESPITE the ramp up, legal and engineering effort to establish their generics franchise and despite the costs (such listing fees) of obtaining nationwide distribution for their "branded" nutritional product offerings... Breaking out the 4th quarter revenues were around $3.8m and earnings at EPS $0.02. Total year, revenues of $14.7m (+64% vs. last year), earnings of $1m - EPS $0.15. The biz model I really do like - "balanced" growth - upfront nutraceutics, later on generics as an "afterburner". Given these fundamentals, it's entirely possible that GORX will ultimately outperform Medifast (Amex: MED) down the road.. rgrds CROSSY

To: PuddleGlum who wrote (3466)	6/25/2003 5:16:18 PM
From: Crossy	Read Replies (1) \| Respond to of 37387

re : GORX - earnings call tomorrow (Thursday) at 11.00 AM EST.. worth the time to tune in - IMHO because it could include material strategy talk, especially in the Q&A session.. LARGO, Fla., June 25 -- Innovative Companies, Inc. (Nasdaq: GORX - News) will be hosting a conference call to discuss its year end results on Thursday, June 26, 2003, at 11:00 am Eastern Time (8:00 am Pacific Time). Please call 1-800-989-2842, pass code 5448866 to participate. Participants are asked to call 3-5 minutes prior to the starting time. Mihir Taneja, CEO and Carol Dore-Falcone, VP/CFO will host the call to discuss results and to respond to investor questions. In addition, the conference call is available live over the internet simply by logging in at firstcallevents.com Innovative Companies, Inc. manufactures packages and distributes high quality, private label dietary supplements, over-the-counter drugs, and health and beauty care products for companies worldwide. In addition, we develop and manufacture our own branded dietary supplements; health and beauty care products and long-term care nutritional products for distribution through various outlets. Innovative's subsidiary, Breakthrough Engineered Nutrition, Inc., has a new line of energy drinks, Thermo ZXE to complement its established product line, Lean Protein, its high protein, zero- and low- carbohydrate product line. Through both of these product lines, the Company will continue to add a wide variety of high protein, zero and low carbohydrate products as well as other products targeted for the gym, sports and other fitness-related markets. For more about Innovative Companies, Inc. go to our websites at www.onlineihp.com and www.leanprotein.com. all the best CROSSY

To: PuddleGlum who wrote (3466)	6/25/2003 5:40:52 PM
From: Crossy	Read Replies (1) \| Respond to of 37387

re: OTC/BB : CRVU (Corvu Inc.) - $0.95 is the most recent addition to the thread portfolio. Will post some summary DD on it. it's main corporate activity is in business intelligence software. BALANCED SCORECARD ANGLE Parts of its offerings are geared towards augmenting customized implementation of a very popular strategic management concept called "The Balanced Scorecard". I would highly recommend the underlying book by Kaplan & Norton with the same title. It connects corporate strategy development with the often neglected process of STRATEGY IMPLEMENTATION. Many Fortune 500 companies are using the concept. This is also the very lucrative target market of the company and the potential geographic scope of Corvu's activities is certainly global alike. Many PR's describing new customer wins are testimony to this. COMPETITION are typical business intelligence offerings like Business Objects (Nasdq: BOBJ) and the like. However I'm not aware of any other player with such a close tie to the award-winning Balanced-Scorecard concept as Corvu. VALUATION Ratios are not ultra cheap but certainly acceptable for a company with growth potential like this. For a software company active in the business intelligence segment they are very low nonetheless.. Industry standards for profitable and growing business software firms are Price/Sales of 3-5 and PRice/Book of up to 10. However on software companies balance sheet, the devil is in the details as Intangibles (capabilities, technology, talent) are the most important ingredients of succesful software companies and all of them are not visible on any standard balance sheet. Corvu is no difference here, so closer analysis is warranted. Price $ 0.90 (Low : $0.16, High $1.02) Avg Volume - 20000 shares / day Beta : 0.14 MarketCap : $ 20m Shares Out 22.7m, Float 11.6m Financial Strength Quick Ratio (MRQ) 0.39 Current Ratio (MRQ) 0.50 LT Debt/Equity (MRQ) NM Total Debt/Equity (MRQ) NM Valuation Ratios Price/Earnings (TTM) 9.00 Price/Sales (TTM) 1.28 Price/Book (MRQ) NM Price/Cash Flow (TTM) 8.65 Per Share Data Earnings (TTM) $ 0.10 Sales (TTM) $ 0.71 Book Value (MRQ) $ -0.19 Cash Flow (TTM) $ 0.10 Cash (MRQ) $ 0.04 Profitability Gross Margin (TTM) % 79.78 Operating Margin (TTM) % 10.40 Profit Margin (TTM) % 14.22 The company has slightly negative shareholder's equity, however this is caused by deferred revenue (a common billing practice in the software industry). Apart from this the company is almost debt free. Revenue has almost doubled this year from last year's levels. And 6 of the last 5 quarters were soundly profitable. In the last quarter some balance sheet writeoffs produced a small loss of $0,02 which was all caused by noncash charges. This restructuring should bode well for future profits. My future scenario for corvu involves further revenue growth of at least 25% annually and associated earnings levels of around $0,10 per quarter. New product offerings are around the corner too. to me it looks like an underfollowed gem in the software universe. What distinguishes CRVU from other OTC/BB listed software firms is their ability to ACHIEVE REAL REVENUE GROWTH and not just profitability. best rgrds CROSSY