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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: Jenna who wrote (39784)	5/12/1999 5:04:00 PM
From: Linda T	Read Replies (1) \| Respond to of 120523

Can anyone get an afterhours quote for IBM? Thought I saw 230! go by!

To: Jenna who wrote (39784)	5/12/1999 5:30:00 PM
From: SMALL FRY	Read Replies (2) \| Respond to of 120523

VRIO <news> This may light a fire on VRIO tomorrow... their best S&P rating so far... may be out of the woods. Headline: S&P revises Verio Inc (NASDAQ:VRIO) outlook ====================================================================== (Press release provided by Standard & Poor's) NEW YORK, May 12 - Standard & Poor's today revised its outlook on Verio Inc. to stable from negative. Standard & Poor's also affirmed its single-'B'-minus corporate credit, senior note and bank loan ratings on the company. The outlook revision reflects a continuing trend towards achieving profitability in its operations, as well as its leading position as a provider of web hosting services and Internet services. The ratings on Verio, a national provider of Internet business services for small and mid-size businesses, reflect risks associated with an aggressive growth strategy in an evolving industry, a short operating history, and a highly leveraged financial profile. These concerns are only partially offset by a favorable environment for Internet access demand. Four-year-old, Englewood, Colo.-based Verio has grown rapidly, primarily through acquisitions, to become the market leader in web hosting services to businesses. Additionally, greater scale in its Internet connectivity operations, with a national network and market presence in more than 80% of the top 50 metropolitan markets, has helped the company move closer to achieving profitability. Moreover, a growing recurring revenue stream and the expanding Internet needs of its customers offer favorable business prospects. Still, Standard & Poor's believes management of growth, in the dynamic business environment for Internet access and services, is likely to be a significant challenge. In addition, Verio has yet to achieve scale in its operations, as reflected by its current losses before interest, depreciation, and amortization. While such losses have decreased over the past year, acquisitions and expansion of the company's network capability are likely to consume a substantial portion of its funds. Moreover, the company is highly leveraged, with $530 million of debt and just over $131 million in revenue over the last twelve months ended March 31, 1999. Still, a cash balance of more than $330 million as of March 31, 1998, provides some cushion as the company pursues its growth strategy. OUTLOOK: STABLE A trend of improving operating performance and a considerable cash balance offer some support for the rating at this level. However ratings are limited by substantial anticipated cash outflows and a highly levered profile, Standard & Poor's said. Copyright 1999, Reuters News Service