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Non-Tech : Any Stock Warrants

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To: ken h who wrote (472)7/26/1998 11:58:00 AM
From: Richaaard   of 1916
 
At these prices I don't see the 5.50 exercise on JMARW having that much of an effect. I agree that the stock is a bargain but the warrants are comparable. Consider that if the stock goes to 3.00 from where it is (2 3/8) , the warrants should easily pick up an eighth. The returns would be about the same. I'm betting that the warrants will actually do slightly better than the eighth. As for the Black-Scholes value, it fails in several areas in evaluating warrant value. When one looks at the whole JMAR picture I don't see any validity to the Black-Scholes amount, and neither does the rest of the market. This stock could fly quickly and B-S doesn't measure that.

Richard
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