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Technology Stocks : Mattson Technology
MTSN 3.6000.0%May 12 5:00 PM EST

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To: Ian@SI who wrote (1496)7/16/1999 8:33:00 PM
From: Jerome   of 3661
 
Remarkable turnaround today. The likes of which I have not seen very often. A 25% decline to 10 7/16 and then a 30% recovery. My notes indicate that at 1:30 270,700 shares traded. Another 90,00 shares traded in the next 25 minutes. I don't know what it all means, but I was glad to see the recovery. I believe that next Wednesday is truth or consequences day.

By Monday I'll decide weather to buy more AUG. 12 1/2 calls. The premium is small and the risk is moderate. So buyer beware .

The earnings surprise by COHU shows how much analysts have underestimated new business. As business was slowing down last spring and summer, companies were retrenching, and laying off employees. They became lean and mean. (very mean if you were one of the ones laid off, very lean if you were one of the ones left to do the work). The consequence of this environment is that just a little increase in business immediately added to the bottom line. I have high hopes for MTSN and others in this group to beat the estimates.

Have a good week end and by all means be cautious of women with beguiling eyes.

Jerome
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