Internet Update:

Net Stocks Still Hot

Dateline: 02/14/00

Canadian Internet Index Index Software E-business E-commerce
Feb. 4, 2000 1651.0 1437.5 1938.2 1225.1
Feb. 11, 2000 1793.8 1419.5 2057.9* 1489.5#

* without BCE Emergis - 2130.4
# without TD Waterhouse - 2627.7

Despite a downturn in the market on Friday, Net Stocks still are hot. There were 39 stocks on our list making double digit advances this week, although there seems to be a turnover in which stocks make the list from week to week. Only twelve of them are in a second or more consecutive week of large gains. And although I haven't analysed it in detail, it seems that strong advancing stocks that drop back for a week or two, subsequently advance again. The popularity of "buying on dips" certainly is encouraged by such a turn of events.

In any event, those analysts who believe the Internet "bubble" is poised to explode are being foiled in their predictions by today's optimistic investor mood. There's a saying that one shouldn't argue with the market. So I make no predictions about where the market will go in the future. I observe where its been and report the facts here.

Regardless of the broad market, there will always be some stocks that consistently seem to outperform the market. Currently they include such stocks as BCE, Nortel, Certicom, Informission, Sierra Wireless, Infowave, Unique Broadband Systems and many others. They are stocks that are in the vanguard of the Internet and telecommunications revolution. A revolution that is, in my opinion, still in its infancy.

Now on to this week's report.

Movers & Shakers

We added 7 more stocks to the ones tracked and removed one which is no longer trading on a Canadian exchange, bringing the total to 113 this week. 49 of them moved by 10% or more this past week. Of these, 11 were decliners and 38 were advancers. To see the Movers & Shakers as a pop-up chart, click the button. To see it as a separate page with the discussion on the same page, click here.

Topping the list this week is Medbroadcast Corporation (MDB - CDNX), formerly medEra Life Science, which jumped 81.58%. There is no news to account for the sudden increase but it may be a delayed response to the company's website gaining prominent listings with Yahoo, SNAP and Open Directory which was announced in a January 20th Press release. We profiled this company previously.

Second up is Info-Touch Technologies (IFT - CDNX) with a 60.00% gain The company brings the Internet to the public through free-standing kiosks and developed Surfnet™, a premier Turnkey Public Access Internet Kiosk Network. This enables businesses such as restaurants, bars, and hotels to add value to their business by providing public Internet access.

The company jumped this week on additional financing. It was also featured as a recommended buy in the January issue of the FutureStock Review. It is in a second consecutive week of double digit gains.

Third on our list is Uniglobe.com Inc. (UTO.B - CDNX), the online travel agency with a 55.17% gain. The company became a sponsor of Microsoft's Expedia.com Cruise Travel section on January 20th.

Fourth with a 53.47% gain is Image Power (IPZ - CDNX) on news that the company has taken delivery of the pre-commercial JPEG2000 codec from the University of British Columbia. The company is focused on intellectual property development working on new digital compression technologies and standards. It also operates FaxPC™, a service that lets users send faxes using the Internet. FaxPC™ was named 1999 Product of the Year by Internet Telephony Magazine last November.

The JPEG2000 codec will be voted on by the International Standards Organization this Spring. If made a standard as expected, Image Power stands to make significant gains.

And fifth is Unique Broadband Systems (UBS - CDNX), a developer of wireless broadband solutions, up 49.47%. The company announced completion of the development of a Dual-Channel High-Speed OFDM modulator on Feb. 9, 2000. It's in a third week of double digit gains.

The company is building tremendous momentum with a strong second quarter that saw earnings rising to $806,363 compared with a loss of $772,181 in the first quarter of the year.  Sales were $2,358,218, more than double the $836,745 in sales in the first quarter. The stock is up over 270% for the year to date.

Other companies on our list into multiple weeks of major gains are Medcomsoft.com (MDCM - CDN), still flying after two consecutive weeks of triple digit gains. In a second week of major gains are Cognicase (COG - TSE), Research in Motion (RIM - TSE), Global Investment.com (GIV - CDNX), Look Communications (LKC - TSE), Bridges.com (BIT - CDNX), Infowave (IW - CDNX), Brandera.com (BRND - CDN), Multiactive Software (E - TSE), and Certicom (CIC - TSE).

On the downside, both Chapters Online (COL - TSE) and SAMsports.com (SAM - CDNX) are in a second week of double digit losses. The latter has dipped below a dollar a share and will be dropped to the Penny Stock List if it doesn't improve over the next two weeks.

Our Weekly Updates

We've put up the new numbers for our Internet Index. You'll also find the complete weekly and YTD changes for all the stocks on our Movers & Shakers Master List. You'll also find new additions to our Yankee List and our Penny List.

Canadian Internet Index
Canadian Internet Penny Stock List
Yankee Stock List
Billion Dollar Babies
Movers & Shakers Master List

There is no new profile this week as other commitments are occupying my time right now. But a new profile (maybe two) will come this way next week. Meanwhile, our top performer was profiled previously and is linked below.

Medbroadcast Inc.
Previous Profiles

Comments? Suggestions? Why not post them on our Bulletin Board or email me.

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Recent Articles

02/10/00 - A is for Annual Earnings Increase
The second installment in our CANSLIM series looks at the importance of year over year earnings growth.

02/07/00 - Medcomsoft.com Continues to Soar
Can you believe it? A stock making triple digit gains for the second week in a row?

02/03/00 - C is for Current Quarterly Earnings per Share
First segment in our CANSLIM series looks at the importance of quarterly earnings and some pitfalls to avoid.

01/31/00 - Ups and Downs
Our weekly Internet Movers & Shakers Report looks at a topsy turvy market.

01/24/00 - Convergence is Here!
Well, sort of. We're still making some last minute adjustments to it.


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