March 28, 2006
SpeculatingStocks.com Stock Pick: Knology, Inc. (KNOL)
Stock Price: $6.15 (long-term strong buy)
Knology, Inc. is a new generation provider of interactive communications and entertainment services in the Southeast. Their offerings include over 200 channels of digital cable TV, local and long distance digital telephone service with the latest enhanced voice messaging features, and high-speed Internet access, which enables consumers to quickly download video, audio and graphic files using a cable modem.
Knology is an interesting little fledgling company that provides phone, internet, and cable all in in one. This company is building its broadband network from the ground up as one of the most technologically advanced in the world.
Revenue for the fourth quarter came in at $55.9 million with full year revenue coming in at $230.9 million. Revenue has grown from $141.86 million in 2002 to $230.9 million in 2005. KNOL is trading at a market cap of only $145.85 and has yet to report a profit due to heavy capital expenditures in future growth.
In a time where all communications are coming together, KNOL is clearly one of the major players. Wall Street has just begun to recognize KNOL.
SpeculatingStocks.com Target Price: We expect KNOL to reach $12.00 within the next 4 - 8 months.