Michael Eisenberg

Incredimail Raises Guidance - Stock Should Really Trade Higher

somebody needed to sell today and puked out 62000 shares on the open.


On Nov 03 02:09 PM Fra... wrote:

> Mike, help me out here, why is it dropping like a rock? I'm very
> very long with it, because I also believe it should be trading AT
> LEAST in the double digits, but it can't seem to pick itself up.
> The short on it is very low, do you really think that Yaron might
> be selling? I guess we'll find out in a couple of days, but man it's
> ridiculous!
>
> Sorry for the rambling... just not sure why people wouldn't it be
> buying it like there's no tomorrow...

Incredimail Raises Guidance - Stock Should Really Trade Higher

I meant daily. They send reports to their partners on a daily basis that reflect daily adsense revenue.


On Nov 02 05:21 PM Fra... wrote:

> > 5. Today is November 2 - Given Google's daily reporting of search
> revenue.
> Did you mean monthly here? Cause if it's daily the fact that it's
> Nov 2 doesn't really add much...

Incredimail Raises Guidance - Stock Should Really Trade Higher

@elanziv posted this comment on the instablog
"Michael, nice job covering this stock over time. I fully agree that this stock is still just too cheap. I also agree that they have managed the street well and likely continue to do so. I think that their estimate of $11mm in operating earnings for the year is conservative."

ME: I agree it is conservative

Vocaltec: A Company with Cash and a Growing Business in Emerging Markets

I agree. It is not a stock to trade. It is one you put away for at least 12 months and then come back to look at it. Really good management team (CEO) that put its money where its mouth is by buying stock on the open market.


On Oct 28 03:04 PM The telescopic investor wrote:

> I agree. I think VOCL will be an incredible growth story. Just after
> you wrote this, they announced another huge deal with Far East Telecom.
> It seems to me that the deals they are making are approaching or
> are in excess of their market cap. This is very unusual.

Vocaltec: A Company with Cash and a Growing Business in Emerging Markets

This belongs over on my MAIL posts and, In fact, Many years ago, I suggested it to ANSW but, alas, it did not happen!

I think MAIL will be fine. I think they will surprise the naysayers this quarter and beyond. It is a thinly traded small cap stock where one of the original founders blew out of a big position which weighed on the stock. There seem to still be some sellers hanging out there. I think the company reports earnings in early November so we can see soon! I think it is a buy at these $7 levels.


On Oct 27 12:13 PM Envoy Global Research wrote:

> MAIL continues to slide. Maybe you can suggest to management over
> at ANSW to takeover MAIL? Seems like ANSW has more credibility with
> Wall Street, so they garner a higher valuation than MAIL, despite
> having a very similar business model and despite MAIL's larger top
> line and better profitability. So an acquisition of MAIL would be
> immediately accretive for ANSW and support a much higher valuation
> for ANSW shares.

Three Israeli Baby Googles

This is a very helpful comment. thanks!

On Feb 09 09:59 AM User 353613 wrote:

> Mike -- I do want to point out that while ANSW has not yet announced
> results from their December Q, they DID preannounce revenue of 4.5M
> and EBITDA of close to 1.5M -- This is a jump up from the September
> Q., where they reported revenue of 3.5M and just abouty broke even
> on an operating basis. This sequential jump in revenue coupled with
> the turn to profitability has been the catalyst for the recent surge
> in the stock.They also now have 10M in net cash -- EV is actually
> 65M -- So the valuation is closer to 3.5x sales when looking at the
> runrate. As Wiki answers continues to grow, revenue, margins &
> profits could continue to rise - At the moment it appears the momentum
> the company exited 2008 on has continued thus far into 2009.

Three Israeli Baby Googles

Ralph -

You are right on title. It is a bet that GOOG ad platform will be the monetization platform for a number of companies and that it is sustainable. The key is whether these companies can keep their content and user experience compelling. Incredimail provides an email client with cute content packs that is used as an email front end by millions of users. New products include flash plug-in for MSN messenger with cool content and a desktop photo album.

MAIL's home page is descriptive www.incredimail.com/en...

Here is Wikipedia entry for the company en.wikipedia.org/wiki/...

Three Israeli Baby Googles

On Feb 06 07:48 AM Envoy Global Research wrote:

> This is a good article, but just a small correction. MAIL has nearly
> $26 million in cash. In October of 2008, they were able to cash in
> on their Auction Rate Securities and received $5 million for them.
> This was not reflected on their balance sheet from the last quarter
> (ended 9/2008), when they reported about $21 million in cash. See
> SEC 6-K on 10-27. So in reality MAIL is selling for under cash right
> now. Yet, it has higher revenues than ANSW and a higher profitability
> level (MAIL should be very profitable in 2009, as you mention).

You are right about that. Truth is I had heard about it but could not find the source. Glad you pointed it out.