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Non-Tech : KIDE- Low Float, Nice Financials ?? -- Ignore unavailable to you. Want to Upgrade?

To: BulbaMan who wrote (30)	11/19/1998 6:03:00 PM
From: jgideon	Respond to of 227

Another indication of the profits to be expected comes directly from the company. In May, they estimated 1998 EPS as 45 cents. In August, that rose to 50 cents. Just last week, they had jumped that to 70 cents. The major difference is attributed to Pokemania -- that's adding about 25 cents to the bottom line this year. So far they've earned 22 cents on 7.3 million in net revenues. Keeping margins constant, another 48 cents implies about 16 million in additional net revenues. Margins probably improve, so this figure is high, but it is just for one quarter (the biggest of the year). If Pokemania continues over the year, perhaps you get a third to half of this level or maybe 15-25 cents a quarter? Big jump for this tiny company. Of course, such growth is only short term. As there is no predictability of fads or the profits to be made therefrom, Wall Street will drop this stock like a hot potato once the Pokemon craze shows any sign of waning (assuming it blooms in the first place). An interesting stock to watch. No position. jg

To: BulbaMan who wrote (30)	11/24/1998 9:00:00 PM
From: Quad Sevens	Read Replies (1) \| Respond to of 227

<< Given Pokemon's popularity, it's likely that Pokemon licensing agreements were at the higher end of the percentages below. >> I would agree that Nintendo's would be at the high end of the range, but I would think with such a hot property, KIDE would settle for something on the lower end. << LCI (KIDE's licensing subsidiary) usually retains between 15% and 50% of the owner's licensing royalties, which generally range from 4% to 12% of net wholesale sales. >> With these figures, I'd put Nintendo at 12% and KIDE at 15%, leaving KIDE with 1.8%, maybe 2%.