Covad Communications Group, Inc.

Covad Communications Group, Inc. is an AMEX listed security that has been trading in a range between $0.79 and $1.73 over the past year. With 296,963,200 shares outstanding, a recent price of $0.86 gives a total market capitalization of $258,357,985. While there are certainly larger companies, Covad Communications Group, Inc. has definitely earned its place in the pack. Last year, Covad Communications Group, Inc. created $-0.07 in earnings for every share outstanding.

Covad Communications Group, Inc. is currently priced by the market at 0.00 times last year’s earnings. Many trading multiples around the world are quite attractive these days, but don’t be fooled. A Price to Earnings ratio of 0 simply means that the security didn’t make any money last year.

With a share price under $50 a share and earnings per share below $1 a share, Covad Communications Group, Inc. is unlikely to be an interesting value proposition.