Forum Archive Index - July 2000

["nick" <acummin@es.co.nz>]

         I was the one who back in the dark days of april stated that
advantage was overpriced at 2.50.  I see no reason to change that view.
 I would say the same of many tech stocks. Beware there could well be
another nasdaq plunge before the year is out many of these stocks
still look overvalued to me.
       Here is what i wrote at the time, in april

       Advantage superficially look very tempting. However,
its highly likely that techs and stocks in general have further
to fall.  The nasdaq hasnt bottomed yet which means advantage
will probably fall too.
      The company still trades at a high p.e and its only proven
buisness is its eftpos terminals.  The jury is still out on flying
pig, with increasing competition in the region plus the
general pessimism over etailing.
       Advantage is a good company but with present world
uncertainty over e stocks and rising interest rates 2.50 looks
expensive even if it is down from 5.00.  By the time the
sell offs have finished many of these e stocks may be down by
as much as 80%.
      Axa jumping in at an average of 3.00 already looks pricy
and is a good reason to avoid managed funds with decisions like that

 nick


> The last time ADV got down to $2-50 someone on this forum suggested it
would
> go much lower but it went back to $3 pretty smartly. I would suggest at
> today's price it's a good BUY. Time will tell. Regards
>
> > Simon
> --



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