Feeds

Freeserve shares fall on Goldman Sachs research note

Needs to justify high valuation

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

Freeserve shares fell four pence to 202.5 pence yesterday on the back of an unhelpful Goldman Sachs research note. The investment bank kicked off its coverage of Freeserve, the British template for free ISPs by making it a "Market Performer" rating and has "a downside price target of 200 pence", financial newswire AFX reports. Goldman Sachs said Freeserve needed to justify its current high valuation by focusing on "gaining preferential broadband access, moving further into e-commerce, developing the brand and growing and scaling the organisation". Yes, but isn't Freeserve doing all these things, already? It's going to have to do a lot more than that to make it worth a couple of billion quid, As we've written on several occasions The Register also reckons the Freeserve market cap is too high -- it seems ludicrous for the market to value a non-paying Freeserve customer as the same as a fee-paying cable subscriber. On the upside, Freeserve has huge market presence (but how much more momentum), and very deep pockets, courtesy of its recent IPO. And it can always call on Dixons for off-the-shelf ecommerce anchor tenancies. ® Daily Net finance news from The Register

Internet Security Threat Report 2014

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
Microsoft EU warns: If you have ties to the US, Feds can get your data
European corps can't afford to get complacent while American Big Biz battles Uncle Sam
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.