The New Net Leaders
A few potential winners are emerging from the dot-com wreckage. They are profitable, growing, have solid business models, and are even reasonably valued in some cases.
We're not talking about household names like eBay. The emerging leaders have names like University of Phoenix Online
University of Phoenix and Hotel Reservations broke out to new highs on Monday. CryptoLogic is still within a year-long trading range, and only two or three analysts follow the company, but it may be the best value of the three.
University of Phoenix soared to an all-time high Monday after blowing out earnings estimates by 8 cents with 17-cent earnings. In this market and this economy, the company topped earnings estimates by almost 100%. The Apollo Group
At 83 times earnings, UOPX is bot a cheap stock. But analysts are already raising estimates after Monday's blow-out earnings, and the stock has gotten the attention of the momentum crowd. The stock broke out to an all-time high on Monday and broke through the top of a rising channel yesterday (see chart below). The 40-42.50 range should now be support.
, Hotel Reservations Network
, and CryptoLogic
.
subsidiary is using the Internet to make it easier for busy adults to get an accredited college education. That may not be the kind of flashy business model that would have gotten investors' attention two years ago, but it appears to be producing results.