Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : Bid.com International (BIDS) -- Ignore unavailable to you. Want to Upgrade?

To: PJ who wrote (25543)	4/25/1999 11:13:00 AM
From: Sean Myers	Read Replies (4) \| Respond to of 37507

Folks, I have been reading the BII thread and curiously following the company and this is my first post. Although the potential market for their services is very large, the tiny margin (3%) on their sales makes it near impossible to generate the kind of profitability that is expected of Internet companies. I realize they have got other business opportunities, including technology licensing, but that will be a very tough slug since there are likely a dozen other companies that have or will have built the same or better technology. BII is attempting to be both a technology company and a service (auction) company as well. This is an enormous challenge, particularly for a startup, trying to manage the typical growth related issues. Also, if their upcoming quarterly results don't show significant growth in revenue and margins, there will be some serious selling. On the topic of classification of costs, even if they found a legal way of moving some of the COGS into SG&A I have to believe that any credible analysts, retail or Internet, will come down hard on this. I guess we shall see. Sean