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Technology Stocks : America On-Line: will it survive ...? -- Ignore unavailable to you. Want to Upgrade?

To: jack rand who wrote (9584)	4/20/1998 11:17:00 AM
From: The Duke	Read Replies (2) \| Respond to of 13594

here is a good example of how sincere and trustworthy analyst are when it comes to internet issues. HURST, Texas--(BUSINESS WIRE)--April 16, 1998--Anthony Elgindy, Chief Analyst of Key West, stated today, ''Although KTEL has announced plans to offer their products via the Internet, this hardly supports an increase of 300% in market capitalization. When the hysteria dies down and the volume dries up, the stock should settle to a more appropriate range between $5 and $7. This could happen very quickly based on earning and book value.'' HURST, Texas--(BUSINESS WIRE)--April 17, 1998--Anthony Elgindy, Chief Analyst of Key West, stated today, ''We have decided that we should reverse our position based entirely on the market's evaluations of KTEL's competitors on KTEL shares and we believe that, although this sector is overbought, KTEL shares represent the best value of all the competitors. We believe that KTEL shares could actually trade in the $30 to $50 range and still remain a good value for long-term holders. We now rate KTEL as a BUY on market dips.''

To: jack rand who wrote (9584)	4/21/1998 12:35:00 AM
From: Tim Kenney	Read Replies (1) \| Respond to of 13594

>Look at all the companies in deep hock for multi-year ad deals (e.g. NTKI, PTVL, J-FAX, CYBERMEALS, etc. etc.). Odds are that all won't generate enough business to cover their wanton spending. And, IMO, Tel-Save is an accident waiting to happen.< That all depends on just how stupid AOL members really are. I used to think the same as you--i.e., no way would these companies paying AOL to feature their crap ever recoup their investment. Then I realized that these companies may not be as dumb as I thought. They must realize that anyone using AOL is pretty stupid. After all, high prices for bad service? Not an endearing combination for most people, but AOL'ers love it. So, maybe the likes of Tel-Save figure that AOL'ers are so stupid that it is worth paying AOL to market long distance service to AOL'ers at rates which are met or beaten by more reputable long distance providers. Why? Because, if AOL'ers are too clueless to shop for internet service, they may not shop for long distance service either, believing erroneously that if it is offered on AOL it must be a good deal.