http://www.businessinsider.com.au/gotha ... 015-4?r=US
An independent research firm is basically saying that EIG (owner of HostGator, Bluehost etc.) are heading for $0. I took a brief look through the report. It seems:
-Related party transactions (to the CEO) accounted for 16.5% of EBITDA.
- R&D Spending was much lower than Godaddy and the industry average. This honestly isn't surprising. Most of the work is done by cPanel anyway.
- Service outages are worsening.
- They have overstated revenues.
- Revenue per subscriber is worsening (apparently if you take resellers out of the equation).
Thoughts?








