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 : MindSpring Enterprises (MSPG) Another ISP. -- Ignore unavailable to you. Want to Upgrade?

To: NucTrader who wrote (381)	7/28/1998 12:44:00 AM
From: Ultimate Investor	Read Replies (2) \| Respond to of 1434

Even longs concede that this valuation for mindspring is absurd but they are banking on that ever present Greater Fool Theory, hoping that somebody will pay a higher price than they did. well this pyramid scheme is not going to last forever and one day the castles of sand will come tumbling down where they belong. if you compare to earthlink and other ISPs, mspg is so grossly overvalued that no fundamental valuations can justify it. And when you consider the looming competition from the big boys, you know that mspg will be hammered very soon. $1.2 billion for 391,000 customers and 175 growth in top line. This is absolutely ridiculous. This Greater Fool Theory cannot last forever. Once all the fools are in, then the decline happens.

To: NucTrader who wrote (381)	7/28/1998 4:48:00 PM
From: AL TOTH	Respond to of 1434

JOE, NUCTRADER AND OTHER MSPG longs---Reading the posts on this thread all the longs offer no comments of any substantial analysis except how great the internet is and MSPG is part of that world where stocks just go up indefinitely.. There is significant analysis by others as to why MSPG is bound to substantially retreat in price. Instead of thinking of these comments as negative, read them with an open mind. They are designed to protect fellow SI posters from going down the yellow brick road only to fall off a cliff. If you read yesterdays posts you will see that MSPG has acted today as predicted: Volume has dramatically decreased since the split--3,853,000 shares on Monday and 2,394,000 shares today. The retail buyers are leaving the stock and not buying it back after selling their shares. About 4 marketmakers kept the stock propped up yesterday. Today only one, TSCO, was attempting to keep the stock up at the end of the day. ELNK which is very similar to MSPG is now at $38.75 per share. With buying dried up, MSPG should continue its retreat down to the low or mid 30s very soon. Now the longs can heed our analysis and save some well earned profit or watch it slowly erode away. If you want to invest in the internet, there are plenty of opportunities with other companies. Right now, MSPG is not one of them. Besides you can always buy it back when it goes back to $30. AL