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Strategies & Market Trends : Fatty's Donut Shop -- Ignore unavailable to you. Want to Upgrade?


To: Matt Brown who wrote (588)4/11/1999 10:28:00 PM
From: Specwar  Respond to of 5041
 
If youare getting out of TNRG to enter a stable company, which stable company are you going to enter?
Spec



To: Matt Brown who wrote (588)4/11/1999 10:33:00 PM
From: Investor Clouseau  Respond to of 5041
 
Matt; insiders probably owned the shares. Also someone posted level 2 for TIPS on friday and the lowest MM bid was like $2 I think. The real question is not what TIPS actually sold for, but what is it actually worth. A direct link to a brick and mortar mall in China has got to be worth quite a bit IMO. Do you know of any other direct web links for e-commerce inside China? Plus, by owning TNRG you get all it's other assets and free TIPS shares also.

I C, long TNRG XNET and some others



To: Matt Brown who wrote (588)4/11/1999 11:31:00 PM
From: Francois Goelo  Respond to of 5041
 
Updated discussion of ZSUN value in relation to Pac.Princess PCNTF (up 38%)...

"ZSUN news today indicated an EPS of 33/35 cents for 1999. That is very conservative and I would not be surprised to actually see an EPS of close to 50 cents for 99, since they always end up revising their projections upwards, due to the fast pace of expansion.

biz.yahoo.com

When you factor in the world wide expansion of the acquired seminar company and the benefits derived from the synergy between the various companies in the ZSUN group, in terms of additional exposure and cross feeding, a 50 cents EPS is not far fetched.

What's the market saying about PE's? A quick check shows PE for
YAHOO at 1800 and 700 for AOL! "Preposterous! It could not possibly apply to ZSUN", you might say. I am not so sure, since ZSUN is a multifaceted Company with little competition at its level, well positioned in the exploding markets of Asia. Only a handful of Internet related Companies are actually listed on a US stock exchange. This rarity factor clearly should increase the PE.

So, let's be conservative and apply a PE of say, 200, times 50 cents forward earnings, to get a share price of $100.00. As a confirmation, PCNTF, which is in a comparable class, although it is already listed on NASDAQ, projects an EPS of 24 cents for 1999 and is currently priced at $72.80, giving it a 1999 PE of 300. Thus, PCNTF with half my projected earnings for ZSUN and trading at 3/4 the projected target price of $100.00, lends credibility to my short term (6 to 12 months) target.

But, since I am reported as "bubbling with excitement" concerning ZSUN's prospects, let's be more conservative yet and apply the PE of 200 to the average EPS of 34 cents for 1999, quoted from the Company Press release: .34 x 200 = $68.00, or nearly four times more than the current price. Now, if you apply PCNTF's PE of 300 to ZSUN's EPS of 34 cents: 300 x .34 = $102.00 again!


By the way, the audit of ZSUN is being completed and the full set of financials should be tabled within 2 weeks. The documents for the application to NASDAQ listing should currently be prepared and I expect a listing approval within 3 to 6 months.

Reviewing the investors package again today, I found that they actually had published unaudited results for both subsidiaries: Momentum Asia earned $950,000 in 1998, an increase of 600% and Momentum Internet earned $325,000, for a combined total of $1,275,000, or 12.75 cents per share. This exceeds their 11 cents EPS projection by nearly 2 cents or 16%. In addition the assets of Momentum Asia increased some 375% from 1997 to 1998 and the Company carries no debt of any kind. Sorry, it's not your usual BB stock!

When I pick a micro cap investment, I pay extreme attention to the management team, since in 80% of cases, its success or failure will be directly related to the quality of management. Here is the profile of Mr Tobin from the Company brochure:

"ZSUN selected Mr Tobin (53 year old) for his Internet expertise and for his flair in identifying leading edge technologies and services and commercializing them in a profitable manner. He has more than 25 years experience in Asia: Hong Kong, Singapore and the Philippines - in publishing, public relations, marketing, advertising, Government information and the Internet.

Mr Tobin was the former senior communication officer in the Hong Kong and Singapore governments. He reported to the Prime Minister's office in Singapore, advising on domestic and international publicity policies and implementing new strategies in the Ministry of Information. He has spent the last three years developing and marketing the Momentum Internet, Inc. product roster".

Mr Tobin sure sounds like a pretty capable and well introduced gentleman to me and what he has so far done with ZSUN is nothing short of amazing.


Disclaimer: I am not an investment advisor and am not compensated whatsoever by any of the companies on which I report my opinion. This opinion is for my sole use and potential investor should do extensive Due Diligence before taking long or short positions in any stock. My projections could be way off, as I am biased in favour of ZSUN since I currently own 1,500 shares".

Regards, F. Goelo + + +





To: Matt Brown who wrote (588)4/11/1999 11:54:00 PM
From: Stuart Cole  Respond to of 5041
 
I think one of the MAJOR problems with TNRG is that have absolutely no good business sense when it comes to public relations and promotion. This is evidenced by the appointment of TAP as their PR representative.

Almost every formal press release during the last six months have been so poorly written that another release had to be issued to correct the first. The more news that comes out of TNRG the more confusion is created. I have had numerous conversations with TAP and, being in the marketing/pr business myself, I am at a loss to explain their nearsided view of their "new" way to promote a client.

Not only dose TAP not have a firm grasp on the fact that a successful PR/Marketing program takes more than issuing an electronic release but they have the unique talent to write releases that creates more questions than it answers.

This confusion causes doubt about the company and its future. I guarantee you, that if the PR was handled in a more direct, less confusing manner there would not be the amount of negative reaction and the stock would be more stable. With better infomation about the company the many aspects of TNRG's businesses would be much easier to understand. The reason for the .14 drop the other day had a lot to do with a 175,000 share sell order. After the sell was finished the stock regaied most of the lost points.

As for the spinoff. This was a misguided (really dumb) attempt by insiders and MM's to bring attention to TNRG and drive up TNRG's price. Very confusing, especially since the PR arm of TNRG, TAP, was promoting TIPS more than TNRG. TAP just dosen't get it.

The bottom line is that if the information on TNRG was more correct, direct and complete we all would know exactly where we now stand. No confusion equals more entuhasium for TNRG which means a higher price.

I am sorry you were attacked because of your support of TNRG. You should have a thicker skin by now than let RB's comments effect you. Continue to do your good work. Some people will like you, others will not. Forget the negatives and take a positive approach to not only trading but also life.

Alot of the negative reaction you received about TNRG has more to do with the the fact that they are gunning for you because of your past success.

Keep up the good work.

I'm still long on TNRG and hope your pullout dosen't convince many to follow you without them doing their owne DD.

Have a great week.

Stu