Easyonlinepaydayloan

Pets

sp0om said: "[COLOR=Red][B]DISCLAIMER: I want to make it extremely clear that this is not a recommendation to buy or sell anything. Do your own research and consult a professional before making any investing decisions. This post should [U]not [/U]be construed as professional advice.[/B][/COLOR] [url=http://finance.yahoo.com/q?s=pets]PETS[/url] managed to slip past my screens (market cap is just under 250 million), but after seeing it posted on kirkreport.com, it definitely got my attention. [url]http://www.thekirkreport.com/[/url] Fundamentals look very good, but as Charles mentioned on his blog, the price line seems to be hitting the top of an upward channel. I'm going to keep an eye on this one. [COLOR=Red][B]DISCLAIMER: I want to make it extremely clear that this is not a recommendation to buy or sell anything. Do your own research and consult a professional before making any investing decisions. This post should [U]not[/U] be construed as professional advice. [/B][/COLOR]"

HappyHarry said: "The numbers look great. If they can keep up the top-line growth, this company is going to get huge fast. And they have a ton of free cash flow, so we know the company is earning cash, not consuming cash. Revenue Growth + sizable free cash flow = high earnings and a high stock price."

alhamid said: "what is their business model?"

sp0om said: "[url]http://finance.yahoo.com/q/pr?s=PETS[/url] under business summary"

alhamid said: "oh okay, presciptions for pets... i think i have seen their tv commercials"

dsm091 said: "Man I can see this thing taking off, my mom would definately buy a prescription for their dog. And I cant see why millions of others wouldnt. So when is a good time to buy? well back to reading on this one"

bobjitsu said: "How many of you have added this one to your portfolios?"

LanceJ said: "I would watch out for the routine litigation concerning this company. Not only are they in court on a regular basis and have at least 1 case outcome pending, but because they are in court so much, or settle out of court so much, this has driven costs up. Worse, we have this from the 10Q "The Company has settled complaints that had been filed with various states' pharmacy boards in the past. There can be no assurances made that other states will not attempt to take similar actions against the Company in the future." In otherwords, State pharmacy boards in multiple states may go after the company, a real nasty sort of gang bang. These legal battles with customers and State boards on the books has caused a $175,000 increase to professional fees, primarily relating to increased legal fees. Worse, because of all the litigation and settlements, insurance companies have increased their premiums to the tune of a $29,000 increase to insurance expenses on the books. If more legal battles ensue, we could easily see this rise further (and probably will). It's also important to keep in mind how this company raised some of their income, "Other income increased by approximately $137,000, or 3,914%, to approximately $140,000 for the quarter ended June 30, 2005 from approximately $3,000 for the quarter ended June 30, 2004. The increase to other income can be primarily attributed to increased interest income due to increases in the Company's cash balance, which is swept into an interest bearing overnight account and tax-free short term investment accounts, and advertising revenue generated from our website." So it's important to understand that not all of the income increase came from an increase in sales. In fact, the biggest % gain to income (3,914%) came from interest bearing accounts, tax-free short term investment accounts, and advertising revenue generated from their website (now each one of these has additional risk associated with it). Also, lets look at gross profit a little closer by going through their books. It increased by approximately $2,997,000, or 21.6%, to approximately $16,859,000 for the quarter ended June 30, 2005, from approximately $13,862,000 for the quarter ended June 30, 2004. Yahoo, right? Well... sort of... Gross profit as a percentage of sales in 2004 was 39.3% in 2004, but in 2005, gross profit as a percentage of sales dropped to 38.6% So while the total gross profit increased, a closer examination shows their profit margin to sales has actually decreased. Why? In their 10Q filing with the SEC, they explain: "percentage decrease can be attributed to an increase to our wholesale sales, which had a lower gross profit percentage, and increases to our product and freight costs." Increases to product and freight costs are brought on by rising energy and gas costs (inflation). Now the amount is small, but nevertheless, with the rising cost of energy cutting in to their profit margins, with prospects of increased litigation from State pharmacy boards, increased litigation from customers (as they grow) and settlements, rising "professional fees" from lawyers, rising insurance premiums, this company is far from being a rocket ship ready to blast off to the moon. I'm not saying it can't happen, but these are very real challenges this company faces and should be pondered before racing off to invest."