Exhibit 11.1

             Statement re: Computation of Earnings (Loss) Per Share

                             FIDELITY HOLDINGS, INC.

                 COMPUTATION OF EARNINGS (LOSS) PER COMMON SHARE

<TABLE>
<S>                                                                                                                  <C>      
Number of shares outstanding at January 1, 1998                                                                       6,895,700
                                                                                                                     
<CAPTION>                                                                                           
Common stock issued during the year:                                                                                 
                                                                                                           Weighted    
  Date                                                                     Days       Number of             Average    
 Issued                                                                Outstanding      Shares           No. of Shares 
 ------                                                                -----------      ------           ------------- 
<C>                                                                         <C>        <C>                  <C>        <C>
4/14/98                                                                     261        350,000              250,274    
                                                                                                                       
6/2/98                                                                      212         10,500                6,099    
                                                                                                                       
7/1/98                                                                      184         17,000                8,570    
                                                                                                                       
7/9/98                                                                      176          3,000                1,447    
                                                                                                                       
8/11/98                                                                     143         16,000                6,268    
                                                                                                                       
8/27/98                                                                     159        150,000               65,342    
                                                                                                                       
10/5/98                                                                      86        187,500               44,178    
                                                                                                                       
10/19/98                                                                     74         40,000                8,110    
                                                                                                                       
10/19/98                                                                     74         50,000               10,137    
                                                                                                                       
10/21/98                                                                     72         50,000                9,863    
                                                                                                                       
10/26/98                                                                     67        100,000               18,356    
                                                                                                                       
10/28/98                                                                     65          2,300                  410    
                                                                                                                       
12/2/98                                                                      29        144,714               11,498    
                                                                                                                       
12/21/98                                                                     10         19,800                  542    
                                                                                                          ---------    
                                                                                                                       
Weighted average number of shares issued during 1998                                                                     441,094
                                                                                                                       ---------
                                                                                                                       
                                                                                                                       
Number of shares used in computing baic earnings per share                                                             7,336,794 (A)
                                                                                                                       
Dilution:                                                                                                              
                                                                                                                       
                      250,000 shares of Preferred Stock, each share                                                    
                         convertible into 2 shares of common stock          365        500,000              500,000    
                                                                                                                       
                      900,000 shares of Preferred Stock, each share                                                    
                         convertible into 2 shares of common stock          232      1,800,000            1,144,110    
                                                                                                          ---------    
                                                                                                                       1,644,110
                                                                                                                       ---------
                                                                                                     
Number of shares used in computing diluted earnings per share                                                          8,980,904 (B)
                                                                                                                       =========
                                                                                                     
Earnings (Loss):                                                                                     
                      Income from continuing operations                                                                  1507301 (C)
                                                                                                     
                      Loss from discontinued operations                                                                 (979,161)(D)
                                                                                                                       ---------
                                                                                                     
                      Net income                                                                                          528140 (E)
                                                                                                                       =========

<CAPTION>
                                                                                     Earnigs              Earnigs 
                                                                                     (Loss)               (Loss)
                                                                                    Per share            Per share
                                                                                      Basic               Diluted
                                                                                   -----------          -----------
<S>                                                                      <C>       <C>          <C>     <C>
                      Earnings (Loss) Per Share:                                                     
                         Income from continuing operations               (C)/(A)   0.195444095  (C)/(B) 0.167833995

                         Loss from discontinued operations               (D)/(A)         (0.13) (D)/(B)       (0.11)
                                                                                   -----------          -----------

                         Net income                                      (E)/(A)    0.07198512  (E)/(B) 0.058806998
                                                                                   ===========          ===========
</TABLE>