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Technology Stocks : TALX (TALX) -- Ignore unavailable to you. Want to Upgrade?

To: Robert Graber who wrote (48)	12/29/1997 9:42:00 AM
From: Robert Graber	Read Replies (1) \| Respond to of 93

Canfield bought 3,000 shares at $8 on Nov.19 as per this week's St.Louis Business Jrnl.

To: Robert Graber who wrote (48)	12/29/1997 11:05:00 AM
From: Cymeed	Read Replies (1) \| Respond to of 93

Great buy, Robert. I bought the stock early after I did a quick calculation. TALX has > 10 million records in the Work Number data base, 15 million under contract. During one of their previous release, they stated an 10,000-employee company receives average number of loan request in the magnitude of 7,000-12,000 per year. That's almost one request for every employee, or every record. To be conservative, let's assume one request per two (2) employees per year. That will translate into 10million x 1/2 = 5 million request per year. Each request is $5~$7 revenue to the company, so I see 5x$5 = $25 million annual revenue from work number in the near future. And margin should be very high because such requests does not cost the company too much. Currently, TALX delivers only $1 million of reveue per quarter from Work Number. I think the current low number is due to initial start-up. People are not used to the system yet. Once they are well educated, they will frequently use this Work Number System. So, one of those days, TALX shareholders will see a (or many) blow out quarters that shows revenue/earning way exceeding expectation. Another beauty about TALX is its recession resistant nature. We are not worried about economic slow down. During an economic slow down, people will probably use the verification system more because they (lenders) tend to be more cautious in other people's background. The excitement about the technology change during the past few years were on semi conductors, computers, and internet. Those days, I will say the excitement will be on the utilization of computers in improving human productivity and social life. I happen to believe TALX is doing one of those exciting things to improve productivity. Currently, all signs say the company's business execution is on the right track. I can't find anything wrong yet. So I am pretty confident of the future of TALX. Robert or anybody, please post your thoughts if you find anything differing from what I stated above. Let's hope TALX will be a big winner as we thought. I am thinking of a stock price that is way above $8. (Currently there seem to be very little institutional buying). Happy new year, everybody. 1998 is going to be fun.