Discovery Group I reported ownership of about 5,175,394 shares (5.4%), after buying 733,849 from Jan. 4 to Feb. 15 at $2.65 to $3.05 each.

Market Perform - Price 2.91 on Sept. 4
by JMP Securities
Initiating coverage of Drugstore.com...the leading online health and beauty store, offering consumers convenience, well-known brands, hard-to-find products, privacy and competitive prices. The company owns Beauty.com and Vision Direct. We believe improved operational efficiencies, a shift toward a greater mix of higher-margin beauty sales, SKU [bar-code] expansion, improved productivity and a scaleable business model should lead to profitability. While DSCM is currently unprofitable on a net basis, quarterly losses are narrowing, and we expect initiatives to begin paying off in 4Q...At current levels, we find shares fully valued on an enterprise-value/Ebitda basis, especially against peer companies that are more profitable. DSCM shares are trading at 41.6 times our fiscal-year '08 unadjusted Ebitda estimate versus the peer-group average at 16.7 times.

wanna make money

Provides online pharmacy services, which i believe will be a fast growing service industry.

low cost drug supplier

Speculative

ability to lerverage the web site into extra value becuase of ad income.

spect play - stocks under 10 pick. should have choose another though

Owned by Under $10.00, and in an out of favor segment. Looking Long Term with this one.

turn around

Fell below the 3.00 psychological level not a good sign for the CO. short term.

Sorry guys Stock under 10 is wrong on this one unless the company starts concentrating mostly on ad revenue. The functionality of their service is not there. People would rather go to the local CVS or RAD to get hair products and cosmetics. Yes it is starting an initiative with WebMd but that does not mean it will promote growth.