Thu Jul 28 2005 5:55PM EDT
: INTERNAP NTWK SVCS (AMEX:IIP)-Rated 'TOP PICK' Strong Buy Near term Target $0.75 12Month Target $1.25, Note: Very positive news related to INTERNAP as clients of INTERNAP> AT&T T and Microsoft Corp. MSFT announced a groundbreaking strategic alliance that is expected to revolutionize the development, deployment and delivery of next-generation Internet Protocol (IP)-based communications services. Also note: INTERNAP has alerted investors that this year is a milestone in regards to INTERNAP seeing Net Income positive, INTERNAP has 5 Analysts rating the stock with Buy ratings & peer perform ratings & Targets from $1 to $1.50 per share, We see INTERNAP as being undervalued & an excellent penny stock to invest in as not many Analysts rate a penny stock proves that INTERNAP is a worthy investment,Note: (IIP) is trading at a forward P/E of just 16x Earnings while Savvis Communications Corp (SVVS) is trading at a forward P/E of 90x Earnings for 2006, We feel IIP's current fair value is $0.75 = P/E of 25x 2006 Earnings, Note Alert from msn money on (IIP), Broker notes from SG Cowen:
The research firm said IP bandwidth pricing declines appear to be slowing in the wake of the SBC Communications (nyse:SBC) and AT&T deal, as well as the Verizon Communications (nyse:VZ) and MCI (nasdaq:MCIP) deals. "This benefits Internap," the research firm said.
