DGM Share Price

[stenning]

I wondered in which direction affiliates think the DGM share price will go, and is anyone tempted to buy in at this level.

Take a look at the current price:

http://tinyurl.com/93fax

52 wk Low/High 4.00p/25.00p

Its currently at the 52 wk Low.

[OLBG]

Down I fear

Chart looks terrible, sentiment negative, confidence low.

The trend wont be reversed until they release some good news, but do they have any?

They seem to have a lot of staff which means a high cost base, and with the uncertainty over the scale of affiliate defections, and how much that is factored into forecasts, Id be worried about losses being made.

They are capable of turning it round Im sure but these shares often sit in the doldrums for a couple of years often not recovering until well after the situation has improved, so I dont think theres any hurry to get in yet.

Im buying AF (IBG) - their Alexa chart seems to be overtaking TD!

[getvisible]

Looks like the company that runs Affiliate Future is bigger than DGM.

I think that AF accounts for a large percentage of IBG, just as I don't think affiliate marketing is the largest part of DGM.

I find DGMpro a complete ball-ache to use, I can't even get links at the mo and just have lost total interest in them.

Who'd have thought it 3 years ago that IBG would be bigger!

Market Cap: 14.07 M£ DGM
Market Cap: 15.99 M£ IBG

[cyberbird1]

£14M market capitalisation!

How much would it cost to create a company as good as DGM?

[Fraser]

just as I don't think affiliate marketing is the largest part of DGM.

This is something that keeps getting suggested but when I get a chance I'll dig out a link to an analysts report that I think quoted that part of the business as 78%

[harris1]

Their profitability last year was hornendous, they blamed this on the cost of DGMpro.......If you compare it to Tradedoubler for example its scary.

However they still made a profit. To be cash positive is always something.....

What worries me is the damage that Dgmpro has done to the brand, they also seem to have lost a number of important exclusive merchants like BT Broadband, Comet, AA......the list goes on.

I wonder how much this will effect them moving forward.

I guess at that price its not terrible bet depending on how much you put into it. I was actually thinking of picking up some shares as at that price their must be a few networks that would consider trying to buy them.

Not sure how much of the stock is being publically traded but at that price It would be worth the bigger networks looking at them as a way of getting merchants they dont have and taking out a competitor surely ?.....Also for a UK operator it would produce big cost savings, in man power for instance.

I agree 14 million is small beer for a company like dgm. Ripe for a takeover ???