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 : Brock International (NASDAQ: BROC, the forgotten stock) -- Ignore unavailable to you. Want to Upgrade?

To: Toni Sage who wrote (883)	11/11/1997 1:06:00 PM
From: Roger A. Babb	Read Replies (1) \| Respond to of 928

Toni and RB, it seemed that almost everyone at the meeting read SI but I think I was the only active member there. There are probably 50 lurkers for every active poster on SI. Most attendees were large BROC investors, couple of stock brokers/analysts who claimed only to be representing their personal investment so I can not post their company, and Robinson Humphery. BROC was well represented by the CEO and all other top management plus NetGain management. Meeting was well organized and questions were encouraged. The BROC CEO would not commit to any financial projections but wanted to focus on the new products. He did say that the company could be showing profits now but has made the deliberate decision to invest cash flow in R&D and marketing to grow the company first. About $600,000 was spent on R&D and expensed last quarter. A less conservative management might have capitalized some or all of the 600k. The analysts I talked to were in agreement with this strategy and valued revenue growth above earnings. The CEO did flash up a slide with some impressive revenue growth charts but did not claim it to be an official projection. I don't know where the change from -.10 to -.11 for 1998 came from. It was not discussed at the meeting and I got the impression that BROC is expecting profit for the 1998 year but really nothing was said one way or the other. I also got the impression (just my opinion) that the CEO would not dispute low numbers that he knows he can beat as has been the case in previous quarters. No one was at the meeting from Zacks. I don't know how their rating is determined. Perhaps it is some sort of mathematical equation and is influenced by stock price. Or maybe the higher revenue expectations had an influence. I am only guessing.

To: Toni Sage who wrote (883)	11/11/1997 1:28:00 PM
From: Roger A. Babb	Read Replies (2) \| Respond to of 928

Toni, there was some discussion of competitive position. The enhanced versions of the TakeControl product line now being released are competitive with the large vendor product lines. In my opinion, good enough to keep current customers happy, expand with current customers, and win a few new ones. But not enough better than the competition to make big market share gains against the larger competitors. Enough to turn the company around to profitability and finance the launch of NetGain, yes. NetGain is a different story. It is a significant generation leap over the competition. Of course they will eventually match NetGain features but it is much more difficult for large companies to make generational leaps, they are too busy managing current earnings growth to make the necessary investments of resources and money. NetGain will have a significant market advantage for at least a couple of years as the market leader of the next generation SFA enterprise systems. And it could be that one of the big boys will find it easier to acquire the new technology than to invent it.

To: Toni Sage who wrote (883)	11/11/1997 1:56:00 PM
From: Sweet Ol	Read Replies (1) \| Respond to of 928

Toni, It is my understanding that Zack's estimates are some wierd average of the published analysts estimates. There seems to be at least two sets of Zack's numbers, their public stuff, and their private infor for subscribers. The public info is suspect. People on other threads have been very derisive of Zack's. FWIW. Good luck, Go Brock! jrh