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Technology Stocks : Premiere Technologies (PTEK) -- Ignore unavailable to you. Want to Upgrade?

To: tom r. phillips who wrote (690)	5/20/1999 11:36:00 PM
From: kendall harmon	Respond to of 1270

PTEK-more on valuation of its stake in HLTH: Here is Rande Is's attempt at PTEK valuation from his thread: WebMD has approximately 1,734,000 million shares outstanding [according to recent news quoting WebMD's registration statement] WebMD shareholders will receive 1.815 shares of Healtheon [HLTH] stock HLTH closed at 100 dollars per share today This means that each share of WebMD stock is now worth $181.50 per share Premiere Technologies [PTEK] owns 12.1% of WebMD or 2.1 million shares with a market value of $381,150,000 PTEK's CEO owns 12.7% of WebMD or 2.2 million shares with a market value of $399,300,000 Together they own 24.8% of WebMD or 4.3 million shares with a combined market value of $780,450,000. PTEK had a market cap yesterday of about $ 775,000,000. Today that number would be approximately 50 percent higher at about $1,156,150,000 or 1.156 billion dollars and putting the PTEK share value at $ 24.00 per share. Rande Is My only problem with this is that if you read the LAST reuters story of the day today (http://biz.yahoo.com/rf/990520/blq.html) you will see that there is confusion as to the number of shares PTEK holds--2.1 million or 2.9 million. For now it is appropriate to use the smaller number just to be conservative. The key is that even with an appropriate discount PTEK looks way undervalued now, especially given its stake in the usanet IPO in about 2 weeks.

To: tom r. phillips who wrote (690)	5/21/1999 12:03:00 AM
From: kendall harmon	Read Replies (2) \| Respond to of 1270

MORE on PTEK valuation. From ricosuave1962 on the Yahoo thread: Remember DBCC and MKTWs IPO, once the IPO came out, DBCC tried to bounce, but quickly settled into the teens, after reaching $40. (and they owned 40% of the outstanding stock). PTEKs value will ONLY increase if the MMs try to squeeze the shorts over night and EVEN then it will be short lived. I have seen it too many times with these "Buy the company which owns a lot of the IPO stock" plays. The "EASY" money was made going long over the last couple of days. When Joe Kernen mentioned PTEK today and the stock only rallied for 1/2 point (19 3/8 to 19 7/8), it became very apparent that PTEK was OVERVALUED! I am admittedly "short" this stock and will continue to short it tomorrow, if the MM try to squeeze us, but don't get caught up in the hype how PTEK is worth $25 on WEBMD stock alone! Caveat EMPTOR!!!!!! Rico p.s. I may be wrong, but I don't think so.