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Technology Stocks : INFOSEEK (GO)

GO 9.355

+2.4%

12:34 PM EST

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To: Da Zipstah who wrote (2401)	2/14/1998 12:48:00 AM
From: TOMMEBOY	Read Replies (1) of 9343

This is the way I view SPO's. The insiders or directors of SEEK feel that at current levels the stock is overvalued and would like to sell some of their shares to the public. I have heard that Merrill Lynch is going to open the SPO with a major buy recommendation, which should push the stock over it's 52 week high. However unlike a IPO. the SPO has no built up demand for the underlying stock because who ever doesn't get any of the SPO can just buy in the open market. SPO IMO are a bad sign. They are the exact opposite of a stock buy back program. Who is in a better position to determine the value of a stock? If the insider(directors) of infoseek think that at current levels the stock is attractive they would be buying not selling. Also increasing the amount of outstanding shares 11% makes it harder for them to show a profit/share in the future and dilutes shareholders value. Thanks for listening. BTW I'm still long the stock with a avg cost of $5/share, but will be reducing my holding after SPO.

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