Supply Chain Software Under Fire -- ePlus patents said to cover core procurement processes. 07/21/2003; EBN; Sullivan, Laurie
A middleweight provider of supply chain software is gearing up to assert itself in the electronic procurement space after securing rights to patents that some observers say could constitute the heart of e-purchasing technology.
ePlus Inc., a supply chain software and IT sales and leasing company with just under $300 million in annual revenue, was awarded the last of three patents earlier this year in a filing that covers what the company called the fundamentals of electronic sourcing. The patents pertain to software for developing onlin...
actually i am a trader mainly in microcaps RE my question, i was in PLUS for the recent runup and then bailed when it started down. i have currently been nibbleing at the bottoms. I am not surprised that you get flack/questions, it is unusual to hold only one position. PLUS does look like value, if they would somehow show an increasing growth rate it would explode on the upside.
Since ePlus is the only stock I own and the only company I've spent a couple years understanding their business model, market position and software technology, I don't have another stock to recommend to you.
While I do analyze plenty of micro-cap stocks (I gave a brief analysis yesterday on this ePlus board to somebody for small-cap insurer PXT; he thought it was value; well, it was cheap, and cheap for good reason, but certainly not value), valuations for the majority of them are over extended in my opinion, and none have provided the Putnam induced ~20% early Xmas gift sell-off the last month. Yesterday on this board, someone said it best referring to ePlus' margin of safety, but I simply believe ePlus' risk/reward ratio is highly favorable.
Don't let the snipers on this board bother you. A few have tried thrown everything but the kitchen sink at me, but I've enjoyed educating them(but in the case of go_buckeye, I had to open a can of whoop#$%$ on him). Maybe they'll eventually convert to ePlus buyers at some point. For their sake, I hope so. I've accepted them as a cost of residing in this neighborhood. Good luck to you.
Your question is beyond my area of expertise but suffice it to say that I believe these patents are extremely valuable and under-appreciated by most investors, making ePlus bulletproof in the e-procurement domain.
The wise guys on this board may disagree with me, but so be it. That's what makes markets.
Don't give up on ePlus because of these short-term price gyrations. Once Putnam's sales and tax loss selling are fully digested, there's little reason not to be optimistic about ePlus' long-term prospects. It's only the second inning.......