To: blankmind who wrote (96 ) 1/20/1999 1:37:00 AM From: Questerr Read Replies (2) | Respond to
I learned of Allou from a broker at Kaufman Brothers earlier this month. Word is slowly seeping out about this under-valued jewel. How many companies can you name that have a market cap of less than $75 million and annual sales exceeding $360 million? None come to mind... If you dismiss the internet story altogether, ALU is still a steal. The nugget is in its future e-tail. Paying AOL $750K a quarter is cheaper than a 30 second ad during the Superbowl with a more targeted audience. Remember before Yahoo's, Excite's, and Amazon's stock prices exploded, they traded at lower prices biding their time establishing consumer recognition until finally getting noticed. ALU is in the very early innings... The impact of its advertising and product placement is accumulative, the benefits of which, we have yet to see just yet. You can't touch its effects, but every time someone glances at the fragrance.com name or stumbles onto its website an impression is being made - hopefully as favorable as some of its better known internet predecessors. I liken the partnerships negotiated with these giants: AOL, Yahoo, Excite, MSN and others to ALU having purchased exclusive rights to all the available shelving space for their products at every major grocery/department store throughout the e-world. I can't imagine Pepsi not suing Coke for similar anti-trust violations in the Cola world. 86% of all web traffic travels through these same portals. During a call to the company last week, I was told 14-16% of the buyers at FC and CC returned later to the sites to make a second purchase. I feel fortunate to have stumbled upon this sleepy Amex stock, hopefully all shareholders share in the excitement of owning a story stock. Happy investing to all!
