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Technology Stocks : InfoSpace (INSP): Where GNET went! -- Ignore unavailable to you. Want to Upgrade?

To: Offshore who wrote (6339)	5/28/1999 9:45:00 AM
From: Josef Svejk	Read Replies (1) \| Respond to of 28311

#reply-9625995 , #reply-9798324 , cbs.marketwatch.com

To: Offshore who wrote (6339)	5/28/1999 9:50:00 AM
From: Martin Muldoon	Respond to of 28311

You can buy a $ 10K server, and about 10K in software, and hire 2 kids from High School to make a web system really kick ass. I didn't think it was possible, but what you just said was dumber than the people that said that Dell's direct model could be easily duplicated. You don't have a clue.

To: Offshore who wrote (6339)	5/28/1999 10:34:00 AM
From: BradleyMarshall	Read Replies (1) \| Respond to of 28311

> It went something like this. If netstock company profits and sales like Ebay grew at 50% per year for 10 years and then 25% for the next 10, their stock would be worth 10% of where they are now according to normal EPS ratios. What if they grow at 150% per year for the next 10? > You can buy a $ 10K server, and about 10K in software, and hire 2 kids from High School to make a web system really kick ass. And with a $500,000 ad budget, you could probably drum up a little traffic. But not enough to compete with amazon or yahoo or ebay or GNET.

To: Offshore who wrote (6339)	5/28/1999 1:32:00 PM
From: robert duke	Respond to of 28311

I think you are over doing it a bit to much. Well if earning grow at 100% a year then it would be something like this. Figure 5 cents 10 20 40 80 1.60 3.20 6.40 12.80 23.60 47.20 this would be year ten.

To: Offshore who wrote (6339)	5/28/1999 1:58:00 PM
From: Eylon	Respond to of 28311

> OK now listen up. I read this in Business Week last week. It went something like this. If netstock company profits and sales like Ebay grew at 50% per year for 10 years and then 25% for the next 10, their stock would be worth 10% of where they are now according to normal EPS ratios. You can say all you want about "this is the new wave", but let me say this. > I see this kind of valuation in many places. The problem is that it looks like the writers never did the math. Here's my try, I've never study economics so I may have some errors but this is simple math. If you grow 50% per year for 10 years and then 25% per year for the next 10 years it will come to *537 or for Ebay where the last Q earning was 0.05 it means earning of $107 per share. take an average PE of 24 and Ebay stock price in 20 years should be $2578 or 14.7 time the current price of $175. Compare it for the some 24 PE stock with 12% growth in 20 years this mean 9.6 time earning and 9.6 time stoke price if the PE stay 24. So according to my analysis Ebay is worth now $268 :-) Eylon