From: The Stock King
Why We Are Bullish On Lycos Internet?
1) The stock has an undervalued PE of 4.67 against the industry PE of 14.67
2) Lycos Internet is trading at 0.98 times of its book value
3) Compounded sales growth over past three years is 52.98% which is very good.
4) Good return on equity of 19.74% over last three years
5) Compounded profit growth of the company over last three years is 62.20% which appears very attractive to us
6) The company is planning to come up with a shopping site named Lycos Shopping which will help them reap the benefits of e-commerce boom in India
7) Technically, 26-27 levels look strong support in Lycos and keeping in mind the valuations the upside potential appears really huge to us.
8) The company is coming up with good results year after year and quarter after quarter.
9) Reducing debts add more strength to the valuations
10) To sum up, Lycos Internet is a fundamentally packed growth stock trading at attractive valuations.