GT0 List

Good To Zero List:The Dirty Dozen

Last Updated: 10/10/00 12:40 AM EST

GSTRF: IRIDQ part deux. Satellite telephony is just not economically feasible, and these clowns keep trying with ridiculous internet plans, satellites covering obscure markets such as Greenland and Iceland, and wireless access is destroying their pricing power and areas of viability.
MYTN: Myturn.com, a.k.a. Compu-Dawn, just flat out smells. Their so-called new operating system and computer for dummies is going nowhere and is a stupid idea, the financials are horrible, very little cash left, this is a classic GT0.
SKIL: Teaching "soft skills", let's see, why don't you just get the working crew to just watch Anthony Robbins tapes and save a bunch of dough. You just cannot teach people skills and managerial skills through standardized software and manuals. Plus they have a lawsuit pending against them from their former employers who are accusing them of stealing ideas. This firm isn't going anywhere.
ETYS: They're bleeding cash, not growing fast enough, terrible margins, going to get destroyed by ToysRUs both online and at the store, and oh yeah, they'll never make any money. Their cash runs out in less than 12 months at current burn rates without any additional financing. Additional financing will likely lead to heavy dilution or massive debt which will take this POS under.
PEOP: I really don't know how they will be able to make money with weak margins and a horrible business model. This is basically a more labor intensive version of NZRO w/ the computer costs being covered by the monthly subscriber fees, which are paltry, and if they raised costs, they would get no business. Their recent IPO funds will allow them to linger a bit, delaying the inevitable. How did they get this stinker through the IPO chute?
CYBR: False reports from management about FDA approval, dubious characters involved in the stock, misleading investors with internet hype for their system. Still some fat on this pig.
PRTN: Proton Energy is one of the worst alternative energy slops to have come public. Crummy technology, the chemistry behind their ideas are absurd, especially using water electrolysis to obtain hydrogen as a fuel. Their proton exchange membrane is old hat, there are tons of other companies that are working on it at much more advanced stages.
DCH: How's this for a company: instead of coming up with their own ideas, they seek out other's technology, pay through the roof, get licensing and try to sell licensed products. Not only are they not making any money, their revenues of $576K over the past 6 months for a non-developmental stage company with no pending patent/patented technology means this is a POS. Oh yeah, they also did a suspicious little maneuver known as a reverse merger to become public a few years ago.
HLEX: HLEX sells disability and health benefit programs over the internet. While other internet health care stocks have been pummeled, this has maintained much of its fat. There is no reason for it. In fact, the internet health care market has been horrible due to lack of critical mass demand. HLEX has enough cash to last a bit, but it will suffer as their cash runs low and growth stagnates with the lack of self promotion and demand.
DSLN: Bloated DSL pig still richly valued at $3+. Not only are they one of the least equipped to deal with the growth in DSL, they also have already missed analyst revenue expectations at this early a stage in their public existence. Many problems at this DSL reseller that put it behind the ball when dealing with bigger, better, and more reasonably valued DSL firms such as COVD and RTHM.
SCII: They have 2 employees according to Yahoo employment data, Net2Wireless, a little known highly speculative start up is reverse merging into SCII to form a billion dollar mkt cap monster. Nothing concrete developed, questionable technology, of course there are hardly any revenues, and everything is up in the air with reverse merger smelliness abounding.
XLA: George Gilder is responsible for the price of this stock. His recommendation of the technology despite its near zero revenues makes this $1.7 bil company a lot of speculation on thin hopes of a magic way to speed the internet. Not only are their financial shenanigans in their little offshore hotel despicable, they are going to force shareholders to puke out ~$7/share in taxable income for holding their stock due to the offshore location of the company.

Please send all comments, inquiries, and flames to: marketrants@yahoo.com