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 : Navigant International (FLYR) -- Ignore unavailable to you. Want to Upgrade?

To: Ron Harvey who wrote (403)	1/12/1999 10:25:00 AM
From: Brian H.	Read Replies (1) \| Respond to of 725

Growth by acquisition is what the street looks for. Albeit that the company being acquired has good internals (ie. Margins, revenues, income, overhead, debt, etc.). Growth through acquisitions is also a way to grow your company "MUCH" faster than internal growth. A lot of fund managers will not buy companies that have large amounts of capital sitting in the bank, while growth is under 10%. They would prefer, as would the shareholder, that they use the money to grow. It will cost more initially, and in the long run to grow a company from $150 million to $300 million internally than to do it through acquisition. (As long as the acquired company is a good buy of course). It will take FLYR 9.006 years to grow to a $300 million company through an internal growth rate of 8%. No one in there right mind would buy this stock if that was how they plan to continue growth. But many will buy this stock if it can grow to $300 million with positive earnings in 3-4 years or less. (JMHO) Brian H.