I think that you are exagerating/misreading a few points.
First, "it appears that their relationship w/ MSFT is over." Where did you get that? While MSFT may or may not renew the license w/ the co. (and not until the END of '98, according to your post), they just announced the inclusion of Surfwatch w/ every retail IE. That doesn't sound like the relationship is too over to me, if they're still signing new marketing agreements. And what about all the other co.'s licensing SPYG's technology? That doesn't end or begin w/ MSFT, so there is a certain amount of insulation there, as well.
The other area you appear to be fretting over a bit much is the earnings release. If you read it in its entirety (an aside: I've got to say that I am impressed w/ the detail the co. provided as to what direction(s) it's heading), you will see that on a comparable basis, earnings are up 60% and revenues are up 62%. I think that those numbers do add to the bottom line, as you have to throw out the '95 numbers related to the VDA line.
Also, you are placing a lot of concern on what the co. is going to be able to do long-term w/ its existing (and very successful, I might add) product lines. THE COMPANY IS NOT STATIC. They are embarking on a new journey in a very major way w/ the commitment they are making to the internet device market. While the extent to which they are devoting their resources is somewhat of a gamble, you have to realize that their current products are basically paying the bills and keeping the lights on while the co. is developing new technologies that have application possibilities that most of us can't even imagine. Look for big things to come from this.
While your money is your money, instead of being concerned about some of the short term issues and the drop today, I'd strongly recommend buying and buying big at these levels; you may not see them again.
Good luck,
Khris |
