http://www.candidcritic.com/stock-picks-of-the-week-update/2006/08/07/ Reviews and commentary on movies, music, stocks, sports, and more... Sun, 31 May 2009 11:47:11 -0400 http://wordpress.org/?v=2.8.6 hourly 1 http://www.candidcritic.com/stock-picks-of-the-week-update/2006/08/07/comment-page-1/#comment-1040 Stock Short of the Week: The Knot, Inc (KNOT) at CandidCritic.com Tue, 16 Jan 2007 19:50:59 +0000 http://www.candidcritic.com/stock-picks-of-the-week-update/2006/08/07/#comment-1040 [...] Shares of The Knot (KNOT) are currently trading just above $31 per share.  Even with our enormous enthusiasm for the web and online advertising (we still like CNET, YHOO and TFSM), we believe KNOT is overvalued at current levels.  Yes, we love the fact that it is a pure-play, niche content site (like CNET and even more like iVillage which was one of our all-time favorites). Sure, it will continue to grow its topline and bottom line significantly - double-digit rates.  But, a very quick, back-of-the-envelope analysis shows that The Knot is currently trading at nearly 20x a highly optimistic forecast for 2008 EBITDA (assuming an $850 million eneterprise value, 40% revenue growth in 2007, 33% in 2008 and then 35% EBITDA margins). [...] [...] Shares of The Knot (KNOT) are currently trading just above $31 per share.  Even with our enormous enthusiasm for the web and online advertising (we still like CNET, YHOO and TFSM), we believe KNOT is overvalued at current levels.  Yes, we love the fact that it is a pure-play, niche content site (like CNET and even more like iVillage which was one of our all-time favorites). Sure, it will continue to grow its topline and bottom line significantly – double-digit rates.  But, a very quick, back-of-the-envelope analysis shows that The Knot is currently trading at nearly 20x a highly optimistic forecast for 2008 EBITDA (assuming an $850 million eneterprise value, 40% revenue growth in 2007, 33% in 2008 and then 35% EBITDA margins). [...]

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