Onstraem media ONSM Onstream Media Corp., which provides live and on-demand digital media services, continued to surge in afternoon trading Thursday, a day after it announced a new platform with on-demand video capabilities.
Now just imagine with low float of MDVX any such news will take it to HEAVEN at least to $3.50 premarket.
MDVX partners with Akamai for the things mentioned below in BOLD.
Akamai is being proud of something that MDVX is giving it. Also it recently aquired a company called Nine Systems ...MDVX might be NEXT !
Previewing 2007: Akamai By Tim Beyers December 28, 2006 If you're looking for clues as to how Motley Fool Rule Breakers pick Akamai Technologies (Nasdaq: AKAM) will perform during 2007, look no further than CEO Paul Sagan's comments to analysts in October. Allow me to quote:
"There are thousands of software companies in the world. I think the number is 15 today that have $1 billion in revenue. That's the club we're going for."
And quite a club it is. Many of them are either Akamai partners or potential competitors, including Google (Nasdaq: GOOG), Microsoft (Nasdaq: MSFT), and Yahoo! (Nasdaq: YHOO). Mentioning Akamai in the same breath is enough to make many wonder if Sagan is just plain loony.
That's doubtful. More likely he's optimistic because the company is well positioned and the team is motivated. And with good reason. Danny Lewin, an Akamai co-founder, was a victim of the September 11, 2001 attacks. When the five-year anniversary arrived a few months ago, Akamai posted a tribute: "Danny's spirit and energy remain strong in all of us at Akamai."
How appropriate. It's also comforting for this investor. The remarks mirror those made by former CEO George Conrades in 2003. "We miss him [Lewin] and many of us work hard in his memory. We would be embarrassed if we let him down," Conrades said at the time.
When you have an advantage, exploit it They haven't. Since the beginning of 2004, Akamai has been a five-bagger. Sales and profits have ballooned. And free cash flow (FCF) -- which was nonexistent in 2003 -- has come within spitting distance of $100 million over the trailing 12 months.
Meanwhile, Akamai's competitive advantages remain intact. At the same conference where Sagan made his Kennedy-esque prediction, executive vice president of technology Chris Schoettle said that the firm's network of 20,000-plus global servers was outperforming rivals by a factor of 2.5.
But Sagan and his team aren't satisfied. In November, Akamai issued 3.1 million shares of new stock and spent $7 million in cash to acquire Nine Systems, whose "Stream OS" helps clients distribute and track the effectiveness of content.
That's smart. Speculation abounds that network owners who are in the content hosting business may want to also get into the delivery business. Consider Google. Or Yahoo! Or Microsoft. Or Apple (Nasadq: AAPL), whose iTunes store has been a boon for Akamai. Doing more for these and other, smaller clients can only help the firm to preserve its greater than 50% market share in content delivery.
Not buying what management is selling Still, skeptics remain. Those who see a fall for the stock in 2007 blame competition. Consider this thesis from Motley Fool CAPS all-star astrodogind:
"Based on the trades made by insiders, the fact that they're in a painfully commoditized market at this point, the 7.7 [billion] market cap, and the lack of growth to their bottom line, I think this one is headed down.... In the end, this is a web hosting company, with some interesting, but not particularly revolutionary products, that exists entirely without a moat because of the relatively low capital cost associated with leased datacenter space and bandwidth."
Factual problems aside -- Akamai's secret sauce is a patent-protected algorithm, for example -- my fellow Fool makes an interesting bear case. Data center space is becoming easier to obtain. And there's almost zero pricing power in bandwidth.
Fuel still in the rocket That would be a major concern if Akamai's margins were closely tied to bandwidth prices, which have been dropping faster than the temperature in the Arctic at sunset. But that's not the case; gross margin was 77% as of the latest quarter and is expected to remain between 75% and 80% long-term.
Still, the stock trades for 47 times next year's earnings, which analysts believe will grow by 38%. I'd prefer to see that reversed, but there can be little doubt that Akamai's market position and extraordinary ability to generate cash deserves a premium.
Then there are the trends working in Akamai's favor. For example, online shopping still accounts for a just a fraction of all retail spending. Fitch Ratings says digital ad spending as a percentage of all advertising is set to move from 4%-6% today to 20% within a few years. And less than 10% of the 1 billion people on the Internet today have a broadband connection. That's important because broadband feeds tend to create demand for streaming media, downloads, etc.
My math says that Akamai's shares are fairly valued at today's prices if you assume FCF will grow 31% annually for the next 10 years and 3% thereafter, and then discount that growth by 11%. Frankly, that may or not be fair.
But Akamai's top brass still owns 7% of the company, are positioning for more massive growth in Web-connected industries, and have amassed a $400 million war chest, which will probably be used to add water to an already wide moat.
Foolish final thoughts 2006 was a great year for Akamai investors. 2007 probably won't be as great. But this is a stock that's only worth viewing through the lens of decades. 10 years from now, will Akamai be as important as it is today? You know the answer. You're on the Internet right now, reading this, because of Akamai. Don't expect that to change soon. Cowabunga, baby.
Posts: 1206 | Registered: Feb 2006
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This is awesome stuff. Gary is a well followed a respected long time moderator of the Micro Cap Kitchen at Silicon Investor. I've followed him for some time and find him to be incredibly insightful with his commentary and stock picking prowess. I have rarely heard him give such a strong affirmation of a company and its potential, very encouraging and I completely second his well spoken thoughts.
From: GARY P GROBBEL Read Replies (1) of 60007
"MDVX on list B 1.95 2007...this has already doubled in space of 5 weeks but I am so convinced of the prospects here in the new internet hot spaces that i am adding it regardless of prior move. I think this stock could really make some noise next year...big time, go to nasdaq....all of it...if you take a careful look at what they have and what they do...and fact that there is already revenue that is growing.....and even a small profit last qtr (this is a nice factor but actually irrelevant to what will propel this stock) the picture to me is compelling.
This one i think can capture the imagination of investors once they get a handle on the company...."
Posts: 317 | Registered: Nov 2006
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As long as sto ck doc says to keep buying I am all in.
I got almost all my money on this one.
Hoping for some BIG action soon.
Why would there be so amny buys today if there was no potential. Those buys were by people who sold their stocks in other companies and put it in MDVX.
If this thing breaks $2.05, it would never see these levels again.
I hope next news would make it real easy.
Wait and Watch. You can't ask for more in a company selling this cheap.
Even if it goes to $3 by next year I am happy(thats 50% more). I am willing to grow with this company. I have to put my kid through college in like 15 years from now. So I got time.
Good luck. I have invested my money in lot of longs and made money. I actually prefer it like that. SDRG and NTRZ are my other two that I am riding free shares on. But they dont need any maintainence cause they got so much attention now.
One day MDVX will get its share of attention and we wont have to spread the word. I see the volume going up to 100,000 a day very soon.
-------------------- This is not a recommendation to buy or sell securities. Posts: 1206 | Registered: Feb 2006
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MDVX Good buying pressure. Need some institutional investors to speed it up. May be Wed-Fri is the time to accumulate more shares. Almost 50% of my portfolio is MDVX now. Thats CRAZYY
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MarketWatch Fund managers see rising prospects for tech stocks Saturday December 30, 9:30 am ET By Murray Coleman Consumers in emerging markets seen as key to sector's performance
SAN FRANCISCO (MarketWatch) -- Growth-minded mutual-fund managers searching for an edge in 2007 are looking closely at technology stocks. The tech sector dominates growth-stock indexes. In the S&P 500/Barra Growth Index, for example, tech stocks reflected almost 26% of its allocation heading into the fourth quarter.
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As a result, tech will have to lead the charge for large-cap growth funds in the new year, says Bob Turner, chief investment officer at Turner Investment Partners.
"The sector really made a comeback in the last three months," he said. "From its lows in mid-July, tech rallied over 30% heading into the end of the year." See related story.
That came after a broad spring sell-off sank shares of many major tech players by 15% or more, Turner adds.
So which path will large-cap growth funds and their tech leaders follow in 2007?
"We're firm believers that tech and large-cap growth funds are finally positioned for a prolonged rally after six years of underperformance," Turner said.
The average technology-sector mutual-fund rose 7.4% in 2006, according to data as of Dec. 28 from fund-tracker Lipper Inc. That result kept tech funds in positive territory over the past five years and came on the back of a 6.3% fourth-quarter advance.
More broadly, growth-focused money managers say they see better prospects in 2007 coming from tech as a whole.
Turner enters a new year favoring communications equipment service-providers and equipment makers. "The consumer is still driving tech," he said. "We've seen a dramatic rise in people being able to download video on all types of devices."
Posts: 317 | Registered: Nov 2006
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You could literally slip Modavox and Onstream and comments like this one previously made by Knobias directly into that article. Media coverage of the space and technology in a respected publication like the Wall Street Journal could certainly bode well for small and undiscovered companies like Modavox.
Knobias wrote:
"MDVX has produced video for the corporate communications niche since 1997 while positioning to capture this vertical market by providing a professionally produced web based infomercial for companies like American Express who link it to their website for a variety of uses not limited to a streaming video about the company’s products. The applications are really unlimited; from management team bios, to interactive videos for new employees covering everything from company policy to insurance information and where the key to the bathroom is. The size of that market for the niche player who creates brand and has the internal skill and hard equipment and infrastructure to attack it will generate nice profits for themselves while also keeping a toe in all the other areas of the changing world for delivery of content. Companies like MDVX become viable takeover candidates as the space matures."
Posts: 317 | Registered: Nov 2006
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Just wanted to say Thanks for yet another stock bulletin board to follow. Yikes, so many and so little time.
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