It didn't take long for Starnet Communications to bounce back from the solar plexus punch administered by its former largest licensee, Las VegasCasinos, which announced that it was suing Starnet for $1 billion, claiming -- among other charges -- that Starnet's software was defective. Starnet's stock, which dropped from $22 a share to $10 a share following the announcement, rebounded to just under $20 a share last week.
Three weeks ago the stock reached its 52-week high, giving it a market capitalization of $750 million. Starnet revenue jumped 190 percent during the year, and its stock price has risen 1,160 percent since the beginning of the year. Starnet reported a profit of $888,421 on revenue of $2.7 million for the three months ending Jan 31. It says it canceled its agreement to provide Las Vegas Casino with its software after that company fell behind $203,000 in license fees since May 31.