To: De Peepster who wrote (2025 ) 1/25/1999 8:55:00 PM From: Tom R. Read Replies (4) | Respond to of 5300
Saw this post from Raging Bull thread.. Good thread by the way! :) Looks like word is getting out on WCTI!!! :) eMailbag Monday: Net2Phone, WordCruncher, NetB@nk By Steve Harmon Senior Investment Analyst Internet.com "Where Wall Street Meets The Web" First reader up writes: "Steve, what's going on with IDT Corp.? Is it spinning off its Net2Phonedivision?" Reply: We think there's two ways of viewing IDTC, one as an integrated communications company and the other as an integrated communications company that de-emphasizes an important part of being integrated: ISP access. First the good news: Net2Phone revenue grew 389% to$11.5 million in 1998 vs. 1997. The bad news (in our view): access revenue dropped 39% to $20 million 1998 vs. 1997 as IDT shifted more out of access. We think access could be valuable to feed other service types IDT offers, so a softening by IDT may make sense for marketing budgets but not integrated services. Total revenue was $335.4 million for fiscal 1998, the lion's share coming from discounted long-distance and prepaid phone card sales. IDT also plans on launching a Internet-telephony-based e-tail search engine called EZSurf.com. It allows (or plans to) consumers to e-mail, talk via the Internet with customer service representatives, or have them call back. IDTC shares have hovered in the $9.50 to $40.25 range the past 52 weeks and closed January 22 at $12. Market cap was $278 million. Put in context of the above we think spinning off Net2Phone may free up some value in that division. We especially like the customer-service oriented nature of Usurp but remain skeptical of its acceptance until launched, up and running and being used by enough consumers to make it successful. On the risk side we expect everyone to be moving into these services, including Cisco, Lucent, IBM, Microsoft, AT&T, AOL, etc. IDT's challenge is to be the vendor of choice for them. Crunch "What if anything have you heard about WordCruncher? I understand that it is to be a new search engine, is this correct.? What is your opinion." Reply: WordCruncher (OTC BB:WCTI) claims to have a better way to search. We tried its demo (which was limited) and can see how it can be used for certain searches to bring out context. WordCruncher says it will debut its technology early 1999. We are reminded, however, of the old ForeFront Group, which had powerful multi-search and sort software for performing advanced searching. And the big search sites, including NorthernLight (which many probably don't know about) are always working on new ways of searching. How protectable is any one way of doing it? Harmon's Hotwatch '99 - the 10 stocks to watch inthe Internetspace - last year's watch group was up more than 300% for 1999 it's now available as a monthly paidnewsletter sentdirect to your email box - click here for details -
Accolades for Internet Stock Report: "Fresh and provocative" -CBSMarketwatch, who namedSteve Harmon one of the top Internet stock analysts and only independentone honored "I am a huge fan of Steve Harmon's crackanalysis"-Kleiner Perkins' John Doerr Tom R. CAAAARRRRUUNNNNNCCCCHHHHHHHH!!!!