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Microcap & Penny Stocks : Xin Net Technologies - BB: XNET - The Next Internet Stock? -- Ignore unavailable to you. Want to Upgrade?

To: Jllanes47 who wrote (528)	3/21/1999 5:56:00 AM
From: $Mogul	Respond to of 1593

Yes it is I am as long as ever on (XNET), great potential as any BB out there, except for maybe (MRPS). $Mogul

To: Jllanes47 who wrote (528)	3/21/1999 11:44:00 AM
From: FFNEODOC	Read Replies (1) \| Respond to of 1593

They are the #5 ISP in Beijing, #3 in Shenyang, These are the 2 major populated cities in the mainland & XNET is planning to expand to 4 other cities. IMOT (which currently has a market cap of about 3.25 times XNET) has estimated revenues of about 1/6 XNET & doesn't state what position they are in these markets, but I suspect it is much lower.

To: Jllanes47 who wrote (528)	3/22/1999 9:14:00 AM
From: FFNEODOC	Respond to of 1593

Market Cap & Revenues comparison; XNET vs IMOT vs AOL Since AOL just rose to a Market Cap (MC) of 122 billion on 3/19, I thought I'd repost the updated key ratios. MC of XNET =$12.3 million, IMOT = $40 million. REVENUES Estimate; XNET 1.7 mil, IMOT .28 Mil, AOL 4 bil MC/R XNET 7.2, IMOT 143, AOL 30 P/E XNET 27, IMOT 5000, AOL 540 The ratios for the Chinese ISP's might be justified in being larger than for AOL, since in the next 5 years there will be a 16 times increase in Internet users in China, and only a 3 times increase in the US. (See chinavista.com ) At any rate, by comparison XNET clearly appears to be undervalued at this current price level. MC/R ratio may be a more important indicator than P/E, since Top Line growth (Revenue) is probably more important in China at this stage (Like it was to AOL 3-4 yrs ago... 1997 AOL lost $5.22/share). In other words, you would want to sacrifice some earnings to obtain a larger market share in the current Chinese competitive environment.