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Microcap & Penny Stocks : Zulu-tek, Inc. (ZULU) -- Ignore unavailable to you. Want to Upgrade?


To: Jeffrey_J who wrote (4130)3/18/1998 1:20:00 PM
From: BlackStar  Read Replies (1) | Respond to of 18444
 
[I said] Without positive earnings the company is vulnerable

[Jeffrey said] Really, I guess the folks at Yahoo and DoubleClick are in for a shock. This analyst must be NUTZ [ DCLK Goldman Sachs ] ¯ Mkt Outperform


The analogy fails for a few reasons.

Yahoo has been around for a while (in internet terms). It has proven itself and is solidly trading on the big board with all business details out in the open. The market community has chosen to put an astronomic PE on the stock and is keeping it there.

DCLK is a recent IPO that also has all its cards on the table. It also has a high PE due mostly to the great things the investment community sees that it can do.

Apparent and public potential is overloading these stocks. They are basically stable entities.

If NETZ can provide for a split investment that puts no single entity in control and present this in clear terms in their upcoming report, I think we will see a dramatic improvement. A clear focused business plan would help. The current 'acquire everything that moves' makes it hard to see what will come out.

And, yes, IMO I think the analyst together with the rest of the investment community is not entirely accountable. I think three digit PEs are questionable...