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Technology Stocks : CKSG - Time to buy the web? -- Ignore unavailable to you. Want to Upgrade?

To: PetroLou who wrote (116)	7/6/1998 10:35:00 AM
From: Susan Saline	Read Replies (1) \| Respond to of 146

Thanks for the link Lou whenever a company gets linked up with the "internet" group, appears they soar. Happy you were patient, up 3 and change .... nice! Sue >>>> CKS Group CKS Group is an 11-year-old firm that has added Internet expertise to its menu of more traditional brand-promotion services. But the new-media business, which accounts for 26% of sales, has helped push five-year projected earnings growth rates to 33%, exceeding the company's price-earnings ratio of less than 30 times 1998 earnings. The company's management put the stock on a fire-sale last November with a warning that earnings would be far lower than expected for the foreseeable future. Six of the company's top 10 clients, who accounted for a dangerously high 50% of revenue, all decreased their spending with CKS virtually at the same time, says James Dougherty, of Prudential Securities, who still rates the stock a "moderate buy." CKS is diversifying its client base, but until it completes that process, the stock may not move much, adds Rita Spitz, an analyst with William Blair & Co., who also rates the stock a "buy." For a company with more than $140 million in revenue over the past year, $35 million of it from the Internet, and real earnings to boot, the stock is certainly cheap. That's why three of seven analysts rate it a "strong buy" and two rate it a "moderate buy."