At this price level, Looksmart are in a prime position to move forward with Wisenut over the coming months.
How big are their farms? Again we don't know except that Zyborg is franticly spidering and very recent.
Are these levels sustainable? Well just think about it. This sector has been in a major slump for nearly 3 years.
Massive changes have taken place including Look to change its entire model around to become profitable.
Each quarter it has reduced its debt further through many of these changes. We are looking at a GAAP profit come the next quarter results. As well, the accounting method now used regarding the amount of clicks to produce the revenue can be easily seen and compared.
The other point. Since Kellerman has taken the reigns of CEO, there is a massive improvement with their Marketing and Advertising campaigns. It is working and filtering through the system. I could not understand ET's lack of foresight in this area. However the tide has turned and in a big way.
At the end of the day, I think LOOK has got to concentrate on its continued expansion and not be overly concerned with its competitors. Afterall, Overture is currently under extreme pressure to further renegotiate deals by giving up a greater percentage of its revenue. Look will not go that way in order to clinch a deal. That is to Looks credit.
At the end of the day they are at the forefront of any increases within the sector.
Cheers markco
LOK Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
