Grizzly battle.Black-owned publicly traded companies publicly traded company A company whose shares of common stock are held by the public and are available for purchase by investors. The shares of publicly traded firms are bought and sold on the organized exchanges or in the over-the-counter market. struggle to survive bear market attack Recent market meltdowns have caused black-owned publicly traded companies to reassess operations strategies after savoring the spoils of a lucrative stock market, which led to impressive gains in the first half of 2000 for members of the BLACK ENTERPRISE Black Stock Index. But, by the end of 2000, the claws of the Nasdaq Composite The Nasdaq Composite is a stock market index of all of the common stocks and similar securities (e.g. ADRs, tracking stocks, limited partnership interests) listed on the NASDAQ stock market, meaning that it has over 3,000 components. It is highly followed in the U.S. index's bearish Bearish Words used to describe investor attitude. A bearish investor believes that a particular asset or the market as a whole will decline in value. bearish activity ripped apart black publicly traded companies, including the darling of black stocks, Radio One (Nasdaq: ROIA; see "The Perils of Being Public," April 2001). Black tech companies really took it on the chin. Last year was painful for DME (Distributed Management Environment) A network monitoring and control protocol defined by the Open Software Foundation (now The Open Group). DME was not widely used. DME - Distributed Management Environment Interactive Holdings (OTC-BB: DGMF. OB), which specializes in Website development, maintenance, online advertising, and software development. In 1994, founder and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Darien Dash vowed to lead urban America online See AOL. . DME's ambitious project to launch a co-branded online service with America Online was expected to guide 64 million African Americans and Latinos into cyberspace. But the outlook for "Places of Color not of the white race; - commonly meaning, esp. in the United States, of negro blood, pure or mixed. See also: Color (POC (Proof Of Concept) See PoC exploit. POC - Point Of Contact )," the name of the online service, is hazy at best, at least for the time being. In a letter to shareholders, Dash said: "The collapse of technology stocks, particularly in the dot-com arena, placed an unexpected burden on our company in our efforts to secure necessary POC funding. We went from a period of numerous firms jockeying for the opportunity to meet our needs, to a more realistic environment where potential financiers were showing serious interest, but wanted results and returns beforehand." The stock that once commanded a respectable $10.34 in February 2000 nose-dived to $.28 a share in December 2000. While DME wants shareholders to remain patient, Securities and Exchange Commission filings show the firm's top brass have been shedding their shares since last summer. Healthcare stocks often prove to be solid defensive plays in a bear market. Detroit-based United American Healthcare Corp. (OTC-BB: UAHC UAHC Union of American Hebrew Congregations .OB) has shown the industry and its shareholders an unexpected turnaround. The latest earnings report for United American, which provides management, marketing, administrative, and consulting services to HMOs in Tennessee and Michigan, had revenues rise 30% to $33.3 million, making the stock price jump 123.21% to $2.50. "United American's jump in revenues and earnings are a clear validation of our strategic objective of expanding our membership base to achieve a size sufficient to negotiate better rates, save on administrative costs administrative costs, n.pl the overhead expenses incurred in the operation of a dental benefits program, excluding costs of dental services provided. and contribute to operating profits," explains CEO Gregory H. Moses Jr. United American administers services to two HMOs--OmniCare of Tennessee and OmniCare of Michigan. A recent partnership with the Detroit Medical Center The Detroit Medical Center is a Detroit-based non-profit corporation that owns and operates nine general and specialty hospitals in southeast Michigan. Detroit Medical Center hospitals include: Shareholders of Carver Bancorp Carver Bancorp, Inc. is the holding company of Carver Federal Savings Bank. It is a public company, and notable for being the first and only black-managed bank on NASDAQ and one of only 11 black-managed publicly traded companies, making it the largest black-owned Inc. (AMEX AMEX See: American Stock Exchange : CNY CNY In currencies, this is the abbreviation for the China Renminbi. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. ) are finally getting an extra return on their investment. Recently, this holding company for Carver Federal Savings Bank Noun 1. federal savings bank - a federally chartered savings bank FSB savings bank - a thrift institution in the northeastern United States; since deregulation in the 1980s they offer services competitive with many commercial banks , the largest African American-owned bank in the nation, announced a $.05 dividend on the $9 stock in early February 2001. Unfortunately, there is no guarantee that the dividends will continue. The board of directors has not committed to issuing dividends on a regular basis. But, if management's attempts to create value-added programs succeed, dividends may just increase. Currently, Carver Bancorp is courting new investors with a "Declare Financial Independence Campaign," and its Carver Shares Program offers an easy way to invest in the company's stock Partnered with www.investpower.com, bank-stock disciples can invest weekly and pick up shares. In addition, first-time home buyers can participate in a program that lets qualified applicants purchase a house with as little as a $500 down payment. Also, Carver's legal battles are behind it. In other news, black cosmetics firm Carson Inc. was one of six acquisitions in 2000 by L'Oreal, the world's biggest cosmetics group. This move not only signaled Carson's departure from the BE Black Stock Index, it was yet another indicator that black owners were losing further control of the black haircare market.
B.E. BLACK STOCK INDEX
Exchange: Price Price
Company Symbol 3/7/00 3/5/01
American Shared Hospital
Services AMEX: AMS $3.75 $2.65
AULT Inc. Nasdaq: AULT 12.00 6.28
Broadway Financial Nasdaq: BYFC 5.36 9.25
Caraco Pharmaceutical Labs OTC-BB: CARA.OB 1.06 .38
Carver Bancorp AMEX: CNY 9.45 9.00
eChapman.com Nasdaq: ECMN 7.37(*) 2.97
DME Interactive Holdings OTC-BB: DGMF.OB 5.84 .05
Granite Broadcasting Nasdaq: GBTVK 7.56 3.56
OAO Technology Solutions Nasdaq: OAOT 8.84 1.59
Radio One Nasdaq: ROIA 20.00 18.00
United American Healthcare OTC-BB: UAHC.OB 1.12 2.50
B.E. BLACK STOCK INDEX
Total
Company Return EPS P/E
American Shared Hospital
Services -29.6% $0.24 $10.79
AULT Inc. -47.67 0.60 10.63
Broadway Financial 72.57 0.73 12.16
Caraco Pharmaceutical Labs -64.15 -0.50 N/A
Carver Bancorp -4.76 -1.26 N/A
eChapman.com -59.70 -0.29 N/A
DME Interactive Holdings -99.32 -0.12 N/A
Granite Broadcasting -52.91 -2.85 N/A
OAO Technology Solutions 82.01 0.10 16.25
Radio One -10.00 -0.15 N/A
United American Healthcare 123.21 0.54 4.78
(*) As of close 6/20/00, for initial public offering.
Note: Prices reflect dividends and stock splits. On days when some of
the stocks did not trade, the closing date falls between 3/07/00 and
3/05/01.
Source: Yahoo! Finance
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