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Hi All,
Have you ever read the fine prints of TradeStation's ad on magazines? I just
randomly pull out some old Futures magazines and allow me to cite some of
their claims:
May 97, Futures magazine, "Since its introduction in 1991, TradeStation has
been the software of choice for over 14,000 of the world's most successful
traders. ..."
Oct 98, Futures magazine, "Using this breakthrough concept, over 25,000 of
the world's top traders depend on ......"
April 15, 1999, Investor's Business Daily, "... TradeStation 2000i is the
choice of over 30,000 traders worldwide...."
Wow! What a successful marketing for OR with 30,000 users of TS2000i. I
wonder how many of these 30,000 are newbies and how many of them just
upgraded from previous versions. I did some quick math and listed the
results as follows:
1. 100%(U) of 25,000 already upgrade from their previous version then
$500 x 25,000 + $2,500 x 5,000 = $25,000,000
2. U = 80% then
$500 x 20,000 + $2,500 x 10,000 = $35,000,000
3. U = 50% then
$500 x 12,500 + $2,500 x 17,500 = $50,000,000
4. U = 20% (which is very likely if I believe what I have read on the List
since I joined 7 weeks ago) then
$500 x 5,000 + $2,500 x 25,000 = $65,000,000
Either way you cut it, their revenue growth rate this year must be 100%,
200%, 300%, or maybe even higher. Who knows, the next Bill Gates probably is
just on the horizon around Miami beach. Well, pick your own number. Any
scenario you pick to split that "30,000" TradeStation 2000i users, it's a
PHENOMENAL SUCCESS. If you believe their advertisement is not misleading, go
long on OR's stock. I'll cheer for you for your courage on the sideline.
Hank
PS. BTW, based on my own experience in dealing with the Technical Support of
OR in the past 4 years, I'm still not willing to upgrade it at this moment.
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