Analyst Joe Noel says he confirmed earlier Thursday that the company raised prices between $2.50 and $3.00 for all existing customers. He thinks these price hikes for the company's products will have a major impact on revenues and earnings.
Noel says his Street-high $1.01 fully taxed 2003 earnings per share estimate is now under review, but he sees a possible 10 cents benefit to earnings per share from the price hikes. Also, Noel notes j2 Global has about 327 paying phone numbers, and works off 80% gross margins. He says he'd be a strong buyer through the $50 a share level.