Unprofitable public companies

Discussion in 'Stocks' started by Comptalk, Nov 26, 2006.

  1. It's always been curious to me how come unprofitable companies can still stay public with a loss every quarter for years. Companies like Mama (NASDAQ: MAMA) and 24/7 Real Media (NASDAQ: TFSM). If a private business would be run like these companies, they would had been out of business a long time ago. My question is, how come these stocks are still around? For the chance some day they would have consecutive quarters of profitability? It just does not make sense to me.