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Technology Stocks : Winstar Comm. (WCII) -- Ignore unavailable to you. Want to Upgrade?

To: Kingpin who wrote (3676)	2/3/1998 6:35:00 PM
From: SteveG	Read Replies (1) \| Respond to of 12468

<..Don't you include options and warrants in a current market cap calculation?..> Nope. Just SO, which is around 33MM currently <..Or is it just used in the 10 year DCF to predict how many shares will be outstanding down the road?..> Yup. FASB rules for DCF analysis require including these. Besides, performance warrants only kick in after the stock reaches a certain price. So our current market cap is LOWER than your 1.6B. More like 1.2B And since it is expected in 18-24 months, that WCII will have TWICE the plant (in just the MSAs) and TWICE the margins as TCGI, does that mean they'll be worth 4 times THEIR ~$11B market cap? ($44B / 33MM SO = $1333/share). What am I missing here? OK, so a true fiber plant is worth more. OK, a LOT more (though no accidently cut cables). And fatter margins may eventually shrink... some. Will we be worth $11B in two years? Should we be worth, say $3B in the next 3 months? What is that, $90? Just wondering out loud...