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

To: PAL who wrote (9778)	5/6/1998 4:33:00 AM
From: H James Morris	Respond to of 13594

Pal, you are right on. Maybe Cnbc might try to get the Aol Cfo, on their show, to ask him some simple Bus 101 questions! He'll probably ask for those questions to be answered by Wall Street. Give me a break, he didn't get Aol's stock price to where its at. He just pushed it, a little higher.

To: PAL who wrote (9778)	5/6/1998 4:49:00 AM
From: Mick Mørmøny	Read Replies (2) \| Respond to of 13594

>>Right now the bears are scared stiff awaiting the earnings report to be released today. It will be an unaudited report, and with the CFO saying that the stock is worth $ 150, watch out bears.<< BN 5/5 America Online 3rd-Qtr Net Seen at 12c-Share: Earnings Outlook Technology News Wed, 6 May 1998, 3:28am EDT Expected Earnings America Online Inc. is expected to report a fiscal third- quarter profit of 12 cents a diluted share, the average estimate of analysts surveyed by IBES International Inc. That compares to a restated loss of $4.7 million, or 2 cents a share, in the year- earlier quarter. Estimates range from 11 cents to 16 cents. AOL restated its 1997 third-quarter results in August to account more conservatively for long-term electronic commerce agreements. Time The No. 1 online service is expected to report its earnings for the quarter that ended March 31 tomorrow after the close of U.S. stock-market trading. Behind the Numbers America Online is expected to see a boost in revenue from new customers. It won't feel any impact this quarter from a 10 percent price increase, which went into effect April 1. Its CompuServe unit, the online service acquired in February, is expected to have a loss of about $1 million, analysts said. AOL provides access to the Internet and online content for a flat-rate monthly fee of $21.95. It has 12 million subscribers. What the Experts Say ''You want to see steady sequential improvement'' in the company's advertising and electronic commerce revenue, said Henry Blodget, an analyst at CIBC Oppenheimer, who rates the stock a ''strong buy.'' AOL's strategy is to increase revenue from ads and online selling since it switched to a flat-rate subscriber fee more than a year ago. Blodget expects ad and e-commerce revenue of $117 million, up from $74.7 million a year ago and $108.8 million last quarter. He expects revenue from subscriptions to reach $535 million, up from $381.5 million in the year-earlier quarter. Previous Market Reaction America Online's shares rose 5 percent on Feb. 11 after the company said it added a record number of subscribers during the fiscal second quarter. It also said it slashed its marketing expenses, indicating that the company was achieving its goal of keeping costs in check. Market Trend AOL touched a record 91 15/16 today. The shares have surged 52 percent since AOL reported fiscal second-quarter earnings on Feb. 10, and have almost doubled this year. Internet companies are on a tear as the potential of selling over the World Wide Web whets investor appetite for stocks such as Yahoo! Inc. and online music vendor K-tel International Inc. Yahoo! rose 16 percent on April 9 after its first-quarter earnings beat expectations in part from strong e-commerce and ad sales. ============================================== Investors/Traders: If the past is of any guide, now is the time to reevaluate your positions. You can always make up your mind later. Oh, BTW, if I remember it correctly from previous press releases, AOL will be using the lower tax rate this quarter as part of its conservative accounting. As always, good luck! Beni Mick Mormony