Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : K-Tel (KTEL) Have the cheesy '70s records come to an end? -- Ignore unavailable to you. Want to Upgrade?

To: Reno With Love who wrote (1576)	5/5/1998 1:11:00 PM
From: Tony Dang	Respond to of 3203

RE:"Looks like I'm smarter than everyone...again." Oooh. Very adult attitude. You forgot to add, "Neener, neener, neener." KTEL, IMHO, is going up on pure speculation. YOU said it was because of market cap compared to its peers. When I asked how that was relevant, you declined to respond. Maybe it was too difficult a question for you so I'll try to make it simpler with an easier comparison. Compare IBM and MSFT as of 4/24. Both companies sell OS and apps for desktops. IBM also has other lines of business. IBM has almost four times the earnings, four times the book value, 15 times the sales, and a P/S one twelfth that MSFT. IBM's market cap is also much less than that of MSFT. According to your market cap evaluation criteria, on which you've stated as your reason for recognizing value, IBM is undervalued and should be growing in stock price by leaps and bounds to catch MSFT's market cap. So tell me, why isn't it? By the way, you've stated that I'm short on KTEL. How do you know this? Did you infer this because I challenged your method of valuation for KTEL and the strength of your conviction in your position? If so, then you were wrong. I've never been short KTEL. I was long 3200 @ 17, out at 34 and long again 2000 @ 46, out at 60.5. I play KTEL as a speculator, follow the momentum, and look to the daily volume and price trends for clues as to direction. In no way do I think that KTEL is a "fundamentally" sound investment at this stage of the game. However, this doesn't mean I am averse to making money on it. (By the way, my speculation money is less than 10% of my net worth. I have never let my entire net worth ride on one stock. IMO, to do so is foolish.) As for me, I'm sitting on the KTEL sidelines for now. The boys and girls with bigger cojones than me are now playing this game. I'll just take my pocket change and go sit on the beach. For this pleasure, I owe Mr. Louis Riley a hearty thank you for your help. Good luck on your drive to $200. Tony

To: Reno With Love who wrote (1576)	5/5/1998 6:14:00 PM
From: Tony Dang	Respond to of 3203

From KTEL's earnings announcement: "The company reported a net loss for the third quarter of $952,000, or $0.12 per share, after giving effect to the company's 2-for-1 stock split payable on May 8, 1998, compared with net income of $510,000, or $0.06 per share, for the third quarter of fiscal 1997." RWL, I stand corrected. You were right oh smartest one. KTEL is now like its peers. Zooming market cap, negative earnings. $200 here they come. Tony

To: Reno With Love who wrote (1576)	5/6/1998 6:30:00 PM
From: Tony Dang	Respond to of 3203

Reno, Where oh where have you gone? Are you still long KTEL? Or were you so smart as to have sold at 78-15/16? Don't tell me that you sold at less than 78. I would be very disappointed that you didn't use your "smartness" to squeeze out every penny out of your STOCK OF THE DECADE. By the way, I am still waiting for your explanation of how it is (was) obvious that KTEL was going to $100-200 in a week based on its market cap comparison to CDNW. Surely someone with a Masters degree can explain this in terms a layman can understand Tony