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Technology Stocks : CheckFree Holdings Corp. (CKFR), the next Dell, Intel? -- Ignore unavailable to you. Want to Upgrade?

To: Benny Baga who wrote (3388)	3/5/1999 8:20:00 PM
From: TLindt	Respond to of 20297

Lehman article...again #2. They mentioned that...CheckFree is seen as overvalued because it's not in control of its growth rate, since it indirectly handles clients for banks that select its transaction services, said Bellini. She said the stock should trade at a discount compared to companies such as *ETrade Group Inc. (Nasdaq: EGRP) that handle their own customers and have a direct control over their growth.** zdii.com Sorry I got to do this one again...because you and I were batting about E*Trade the other night as to whether CheckFree should be similarly valued. Since they used it in their justification to devalue...I consider this a test...both sides can't be right. There's only one answer. I agree you can't control the customer DIRECTLY, but you can control growth rate using the Internet...using a Real Estate principle. The principle being...you control end-point distribution, the mailbox LOCATIONS. Since CheckFree can't control the customer CheckFree must control mailboxes and their LOCATIONS. LOCATIONS being, Banks, Brokers, Portals, Biller, and PFMs. This is not like the US Postal Service where you have one mailbox at the end of your drive in the physical world and expect the customer has to go to it to pick up his mail. NOPE, this consumer is going to get their bill where they are most comfortable, or is most convenient. Then once that has been done, what has been accomplished? LOCATION, LOCATION, LOCATION. CheckFree is then where they are...the Consumer is an mass. It's a shotgun approach, CheckFree is putting up Mailboxes everywhere, THAT'S THE PLAN. That's how you get control, of something you can't control...be everywhere the Consumer IS...LOCATION. And then if e-Bill catches on as predicted....IT'LL BE LIKE FISHING WITH DYNAMITE...WHO THE HELL NEEDS A POLE? Because Lehman Simply; LOCATION = CONTROL. I know how that one works...prove me wrong.