CANSLIM Comparative: 

Current Quarterly Earnings - The table below shows how the past four earnings announcements have been versus the same quarter one year earlier, leading off with the oldest and ending with the latest reported quarterly results. 

Boston Communications Group, Inc. will release its First Quarter Financial Results after 4:00 PM ET, on Wednesday, April 16, 2003. The Company announced that it expects to report 2003 GAAP earnings of between $0.52 to $0.58 per share if the legal costs to defend the Freedom Wireless lawsuit continue throughout 2003. Excluding these legal costs, earnings in 2003 are expected to be between $0.64 to $0.70 per share, about double 2002 earnings. For the first quarter of 2003, the Company anticipates GAAP earnings of $0.10 to $0.12 per share or between $0.13 to $0.15 per share excluding estimated legal costs. According to Multex, analysts expect the Company to report first quarter earnings of $0.12 per share and 2003 earnings of $0.63 per share.  

Acceleration - Sales revenues have shown accelerating growth in recent quarterly comparisons, as the past three reports have shown: 
$17.4 million in Jun '02 versus $17.1 million in Jun '01 (+1%)
$17.3 million in Sep '02 versus $15.9 million in Sep '01 (+9%)
$21.1 million in Dec '02 versus $14.3 million in Dec '01 (+48%)  

Leading Company in a Leading Group - Boston Communications Group (BCGI) is the ranked as the third best overall stock in the Telecom-Wireless Services group which contains 63 companies and is ranked 24th on IBD's list of 197 industry groups.  Year-to-date this leading group is +2.0%, and meanwhile the Nasdaq Composite is +3.6%, and the S&P 500 Index is -0.1%, the Dow Industrials are -0.8%, and the Russell 2000 is -2.6% year-to-date.  This shows us rather clearly that the group is among those most worthy of consideration.  A fair number of Telecom stocks have been recently highlighted in the list of groups with the most stocks reaching new highs.   Other strong stocks in the group include Vodafone Group (VOD), Mobile Telesystems (MBT), and Vimpel Communications (VIP).

Institutional Sponsorship - The recent technical trading action has been indicative of buying by institutional investors (mutual funds, banks, insurance companies, pension funds, etc.), and there has been a greater number shares purchased than sold by them.  Data in the tables below is presumed to be accurate as of December 31, 2002, and may not indicate some of the most recent activity. 

*Institutional holdings as a percentage of the current shares outstanding.
**Hypothetical value based on price of $16.21 as of 28-Mar-03. Position may have increased or decreased since the report date.

Market Direction - Technically, it was encouraging that the major indices make an important stand right at their short-term (50-day) moving averages.  At least thus far, they have survived this important test.  Pictured below, the S&P 500 Index bounced off of its 50-day moving average line on last Tuesday, then followed through higher with above average volume on last Wednesday as it approached its 200-day line.  The series of lower highs (see green lines) remains an important reminder of the downward trend still evident in all of the major indices' charts. The volume behind the gains was above average, but lighter than the prior session.  

For additional insight on current market conditions, we advise everyone to read the most recent installment of John Murphy's latest "Market Watch" report, which includes 13 charts that highlight important technical market indications. To read it CLICK HERE.

* * * * UPDATES * * * * 

05/29/03 - 9:43AM After a gap down on 5/9/03 BCGI tried to hold above its 50-day moving average line for four days, but on 5/16/03 sliced through it while sinking badly in the last hour of trading.  That led to a rough start on the morning of 5/19/03, but ultimately that day turned out to be a key reversal day. A look at the intra-day action during this period (such as can be seen on a 15 minute bar chart) makes this easier to recognize. 

BCGI’s most recent low closes above $15 coincide nicely above the peak reached in December, as that old resístance point has thus far proven to be the point at which it found solid support.  On 5/27/03 it notched a small gain on above average volume, and the buying helped it follow through the next day with more impressive gains on even higher volume.  While it bounced, it managed to break above a steep short-term downward trendline. It has yet to climb back above its 50-day line, yet we believe there is a good chance that the momentum could build quickly on the upside, especially aided by short covering.  

04/21/03 - 5:43PM - BCGI followed through on last Thursday's huge gains with a $1.15 rise to $20.05 on 1.52 million shares.  It is way too extended from an ideal buy point, so it is not advised to chase the stock.  It may be worth considering to add to an existing position, buying 1/2 of your original purchase amount on any future dips back into the $16.50 area, especially if the weakness is occurring on lighter volume.  The prior highs should now be expected to be an important support level that BCGI should not violate.  On the upside, the highs near $29 that it reached in late 2000 appear to be the only technical hurdle standing in its way.  That is a long way from here, however, if it approaches those historic highs in the weeks that come it would be normal for it to stall as it faces resistance in that area. 

04/17/03 - 9:25PM - Boston Communications Group, Inc (BCGI +25.16%) gapped up and traded nearly ten times average volume after it reported better than expected earnings, raised its guidance for the year ahead, and announced the signing of multi-year contracts with four regional carriers, including new and extended contracts.

04/16/03 - 8:12PM - BCGI dug its heels in and closed just $0.02 higher on Tuesday.  On Monday (4/14/03) it slid -$0.73 to close at $15.35 on above average volume, being turned back after three consecutive closes at $16 or more.  BCGI's 50-day moving average is at $14.07, however the best near term support points that should be watched closely are in the range of its December high trade of $14.95 on 12/5/02 and high close on 12/6/02 at $14.74.  These prior resistance points should now serve as support.  The lowest close since it registered a breakout through $15 & $16, was $14.71 on 4/1/03.  It may be best to protect your interest if there is deterioration through these levels, especially if occurring on high volume.  Meanwhile BCGI is working on a new base, at this point only about 3 1/2 weeks long.  Be watching at some point for a new high close, which would be anything above the $16.21 close on 3/28/03.  That would be especially good if it occurred on high volume. Its 50-day average volume is 312,000.

04/07/03 - 6:10PM - BCGI gapped open 51 cents higher on Monday, helped out by a broad market that began the day with a very strong positive bias. Looking at the "time and sales" tape, its reported intra-day high of $16.97 looks suspicious. There was one oddball trade of 10,000 shares reported at 9:57am, when it was trading just above $16.00. The next highest print for the day otherwise was $16.20, so we think it was a misprint and the block in question was really traded at $15.97. Still, it was a day that featured a 5.8% gain at the close on above average volume. While a lot of individual stocks saw their early gains reverse right along with the deterioration of the major averages' gains, BCGI held up very well in the afternoon. 

The bullish action in BCGI lends more confidence to the view that we've been seeing normal consolidation. Following today's gains it would now be even more troubling were there to be a close lower than its 4/1/03 close at $14.71. Such a violation would be an undeniable sign of further deterioration, while not necessarily a blatant sell signal. The market's overall lack of conviction throughout the session might be cause for greater concern in the short-term.

04/06/03 - 7:14PM - There are no updates at this time.

The company offers E-mail alerts whenever certain new company information is posted on their website. Use the link below to sign up if you wish to receive these. 

http://www.bcgi.net/investor/email_alerts.asp

Please let us know if you have any questions about this stock, as we would be glad to assist you.

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