CD rates that make your money work for you A U T O M A T I C W E A L T H 10 Next page... Heres your chance. Ive found a
company responsible for helping
many online merchants become so
profitable. With so many new ventures going
online each year, Imergent has cus-
tomers busting down its doors to get
a piece of the action. Last year alone,
IIG served over 150,000 entrepreneurs
and small business owners. Support
training
profits By offering a wide range of sup- port and training, IIG helps retailers
launch their business on the
Internet. The companys products
and marketing couldnt be any sim-
pler. First, IIG offers a complimenta-
ry 90-minute Internet training semi-
nar that helps clients determine if e-
commerce is right for them. More often than not, it is. The next
step is an intense 8-hour training
seminar. Here, clients learn more of
the techniques they need to trans-
form their brick-and-mortar company
into an e-commerce success. The genius of IIGs system comes
at the end of this seminar. After the
attendees learn how to launch and
operate a retail website, IIG offers
them a license to use its
StoresOnline and website develop-
ment software. When clients pur-
chase this license, they are entitled
to a multitude of support services
that will further enhance their new
e-business. Because IIGs clients are then
aware that through IIGs services
they can have a distinct advantage
over their competitors, theyre will-
ing to cough up a hefty price to get
in on the action. IIG charges hun-
dreds of dollars just to attend its
seminars. The price of the compa-
nys software and support systems
balloons from there. The companys astounding finan-
cials prove the strength of its prod-
ucts and marketing. Click here for fast
growth and flashy
financials With a market capitalization of just US$161 million, IIG is a little tike com-
pared with some of the multibillion-
dollar behemoths out there. But there
is nothing small about its potential.
This company is growing fast. For 2005, revenues are expected
to hit US$116 million. But as a real
gauge of IIGs potential, its revenue
forecast for 2006 is US$138 mil-
lionan 18% increase. IIGs potential certainly doesnt stop there. Earnings per share is
expected to grow to US$0.96 this
year. By 2006, that figure is estimat-
ed to jump 25% to US$1.19. But what really makes IIG so irre-
sistible is its incredible value. The average price-to-earnings
ratio for IIGs industry is 45.52. But IIG
has a P/E ratio of just 13.75. Thats
less than a third compared to its com-
petitors. But of all the fundamentals, my
favorite by far is IIGs price-to-earnings
growth ratio (PEG). To determine a
PEG ratio, simply divide a companys
P/E ratio by its growth estimate. Its is a great way to determine a
companys real value. A fairly valued
company will have a PEG ratio of 1.
If the number is higher, it is overval-
ued. If its lower, its undervalued.
Simple as that. IIGs PEG ratio is a remarkably
low 0.54. This stock is selling for half
what it should be. But I dont expect IIG to stay so
grossly undervalued for long. Its
already showing signs of taking off.
The stock recently crossed both its
50-day and 200-day moving aver-
agesa great indicator of a stocks
trend. And when IIG crossed both
moving averages in the same week,
it proved its not hanging around. Buy Imergent Inc. (IIG:AMEX)
under US$15. William Colburn is Investment
Director at the Value Edge and
Volume Spike Alert investment
services. ¦ Judging by current trends, it
appears that yields will continue to
rise as the US Federal Reserve contin-
ues with its measured pace of inter-
est rate increases. Short-term yields remain pretty
robust, receiving a boost from the
strong April job report and retail
sales. The surprising 9.2% drop in
the March trade deficitthe biggest monthly fall in three yearsdidnt
hurt either. Longer-term, the economic picture
is a little unclear, given that a few eco-
nomic areas are still rather volatile
and unpredictable. So shorter-term
CDs could be the best place to park
your money for now if you want a
quick, healthy return. Take a look at the chart: Imergent has
customers busting down its doors
to get a piece of the action.