To: Little Engine who wrote (2253 ) 1/30/1998 12:20:00 AM From: OpenSea Read Replies (1) | Respond to of 27968
Little Engine, I truly appreciate that you are forcing us to think more carefully about this stock. However, you'd better be careful with that "stake," lest you miss Firamada's heart and end up with some splinters! It seems to me that there are a number of possible cracks in your "proof." Emphasis on POSSIBLE. I'm not saying they are there, but any criminal court here in the USA requires proof "beyond a reasonable doubt." Likewise, because most of us seriously doubt Ira would try to pull off the stunt you are expecting, you're going to need to have a very solid proof to before we're going to be willing to convict him. If Ira is, as you claim, using language rather loosely (e.g. stating gross earnings when the context obviously implies net earnings) would it not be equally possible that when he says Firamada "did 8.7 million in 97" that the figure of 8.7 million refers to gross earnings? If so, then a 30% net would produce just about 11 cents per share. Hard to accept, yes, but I find it even harder to imagine that a company such as his would earn, as you suggest, only 1 cent per share. My sister started a LOW-END temp employment agency (i.e. placing people to haul, sweep, turn widgets, etc..) in the late 80s (and sold it in 1996 for 1.7 million.) The entire company consisted of her and 6 employees in one 1200 square foot building. That little company generated 3 million in gross sales per year, and a net of $300,000. If, as you suggest, Firamada only made a NET of 1 cent per share, then Firamada's net income was $250,000--less than what my 25 year-old sister was generating in her little office placing blue-collar workers and recent immigrants in menial labor and minimum wage positions!!!!! C'mon! I know you like to dissect statements--and that's great--but you've got to look at the plausibility of what you're concluding. I'm not disputing the logic of what you're saying--just the conclusion you're reaching. It truly suggests that some of your assumptions are off. That's why I, like the rest of us bozos on this thread, am simply betting on what looks like a good shot, and saying "JEEZ, I CAN'T WAIT TO SEE THOSE FINANCIALS." Jim