NEW YORK, March 18, 2003 (PRIMEZONE) -- Universal Express (OTCBB:USXP) has been rated "Speculative" by Jeff Howlett, analyst in the Investrend Research program.
Howlett said that Universal Express has evolved over time into a conglomerate of companies that offer independent and franchised private postal store owners access to quality products and services at below market rates, which he said the company states now includes about 8,000 members in the network.
The full report is available at www.investrendresearch.com.
Howlett notes, however, that "despite past attempts with many different products and services, the company has been unable to generate significant revenues, which has resulted in chronic $3+ million losses annually," resulting in increasingly massive share issuances and dilution beginning roughly in FY 2001.
Howlett said that "new additions to management team are rethinking product, marketing and delivery strategies which marks a point of departure from past approaches" and that "several new product initiatives and acquisitions that have far reaching sales potential have been introduced over last quarter of 2002 and into 2003."
"Universal Express is rated speculative for several reasons," Howlett noted, in the full report which is accessible at Investrend Research, along with important disclosures and disclaimers. "There is clearly a mix of positives and negatives. For a variety of reasons there appears to have been a lack of adoption on the part of independent postal operators.
"However, new management with fresh ideas and revamped marketing methods with new product partners offers potential to reverse a weakening financial position. The company is actively seeking acquisitions in the transportation area to create its own domestic delivery system to support and strengthen its existing activities.
"We believe the stock does offer potential upside, but has very high risk. We therefore rate the stock as Speculative pending results from its new programs."
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Jeff Howlett is a financial analyst with over 15 years of experience spanning a wide range of industries and special situations. For over 10 years, he has been providing research services to publicly listed companies which lack adequate coverage as well as completing a diverse range of business planning and financial modeling activities for clients. Previously, Mr. Howlett gained extensive experience with a major Canadian investment firm, specializing in Mergers & Acquisitions. Prior to this, he completed a B.Sc. in Economics from the Wharton School of the University of Pennsylvania.
Investrend Research has been a leading independent equity research publishing and distribution program since 1996, with over 68 AIMR-qualified professional analysts posting more than 550 reports to date. Anyone, including a company, investor relations practitioner, financial institution or interested private investor, may enroll a company for coverage. Enrollment fees vary, up to $2,150 per month for full, continuous coverage, which is being paid by Universal Express, Inc. Analysts are paid in advance for their initial reports by Investrend to insure independence. Full details of the company's policies and guidelines are posted on the website at http://www.investrendresearch.com.
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