To: The Perfect Hedge who wrote (754 ) 5/23/1998 11:05:00 AM From: Suzanne Newsome Read Replies (1) | Respond to of 44908
<First of all in adding up revenues for TSIG and implying a double digit stock price, you forgot about TSIG's teleservice biz..>> Well, not exactly "forgot." When projected revenues for Compact Connection Inc. (CCI) are $30 million for '98 and 1st quarter revenues for teleservices are $340,000+, there is a tendency for me and many others to focus on CCI. Apparently, revenues for teleservices are about to ramp up. One point Mr. Kabash made in our phone conversation yesterday is that management does not see TSIG as primarily an internet stock, but rather as a teleservices business. The upside of that idea is that management is not depending on market hysteria to prop up the stock price. (Note: we are about to have the mother of all thunderstorms here, so I will be shutting down this computer and continuing this later.) (Later. Boy, for a few minutes there, I thought we were going to have night again.) If CCI launches a successful website-based business and the market is affording Internet stocks a premium valuation, TSIG will benefit from that also regardless of how management views the business. <<secondly, why are you already talking about a double digit stock price?>> To answer your literal question, a double-digit stock price has been mentioned or certainly implied on this thread, and in interviews with the VistaQuest people. I believe it is common practice to attempt to place a value on a stock at some future date and decide if one is willing to pay today's price for that stock. I believe, however, that your real point in asking that question is that you are disapproving of my mentioning a double-digit stock price. Granted there is danger that someone may come across this "prediction" and buy the stock without looking at the company with all its flaws and blemishes. These "weak hands" may sell the stock at the next bump in the road (which we know are going to be many) and get hurt in the process. I would prefer to see the stock in "strong hands," i.e. people who have read the SEC documents, who have read the posts on this thread, who have called the company, who have an intermediate or long-term outlook, and who are NOT going to hype the stock and sell 2 days before the CCI website opens. Regards, Suzanne