Perigee Holdings Inc (PEHD)

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Excerpt from 4 Traders article

Online Publishing Heats Up

"Mr. Bezos' confidence in unlocking the value of the Washington Post's content has left many investors looking for other undervalued online publishers. While other newspapers like The New York Times Company (NYSE: NYT) and Gannett Co. Inc. (NYSE: GCI) are possibilities, investors may want to consider lesser known online publishers like CrowdGather Inc. (OTCQB: CRWG), a micro-cap operator of online forums and social media properties.

CrowdGather is interesting for a couple of different reasons that investors may want to carefully consider. First, its forums generated an average of 155 million monthly page views and 12.4 million monthly unique visitors during Q4 2013, with more than 75 million discussions and 1.5 billion individual replies, making it a much larger publisher than its market capitalization would suggest and comparable in unique visitors to WashingtonPost.com.

Second, Zack's Research found that these forum visitors are 3.5x more likely to recommend a particular purchase; 3.5x more likely to share links about a new product; 2x as likely to share discussions offline and in-person based on information read online; and 4x more likely to post online ratings and reviews of products that are found and discussed in online forums. These attributes make them more valuable to advertisers and could pave the way towards above-market CPM rates.

And third, CrowdGather?s stock trades with a price-book ratio of just 0.2x, compared to 4.3x for its industry, and a price-sales ratio of just 1.8x, compared to 6.1x for its industry. These figures suggest that investors can acquire the stock for less than the value of its net assets. Moreover, insiders like CEO Sanjay Sabnani have bought stock at much higher levels, while institutional investors like John Hancock Fund have acquired more than 10% of its shares.

Key Takeaway Points

Jeff Bezos' interest in the Washington Post?s newspaper business signals a renewed interest in online publishing. With Internet advertising continuing to break new highs, the underlying trend appears to be skewed towards online growth, but many publishers have yet to figure out how to effectively monetize content. The success of Mr. Bezos remains to be seen, but the financial markets will certainly be watching the Internet entrepreneur with great anticipation.

CrowdGather is unique in that it has a very large audience - approaching the size of WashingtonPost.com - that is extremely valuable to advertisers. While online forums are difficult to monetize, the company?s management has developed an innovative platform designed to efficiently boost CPM rates. And for investors, the stock itself trades at a significant discount to its peers with insiders and institutional holders already having built positions at higher levels."




http://www.4-traders.com/CROWDGATHER-INC-2995644/news/CrowdGather-Inc--Bezos-Washington-Post-Purchase-Heats-Up-Market-for-Online-Publishers-17209659/