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Technology Stocks : Novell (NOVL) dirt cheap, good buy?

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To: scott blomquist who wrote ()5/24/2000 12:35:00 PM
From: zwolff  Read Replies (2) of 42771
 
The problem with the reorganization.

It is not clear if the reorganization was well thought out. Why?

a. One of the key players, the recently hired outsider, resigned before taking up his post. This means that either they did not know what they were doing when they hired the guy. Or that the guy guy did not know what he was doing when he accepted the job..

b. The players in charge of these divisions and the management team in general. It is not clear if they are part of the solution or part of the problem.

c. The buyback program was a fiasco. No meaningful return for 500 million dollars. Worst now it is an open secret that NOVL does not have anymore money for its buyback program hence making it vulnerable.

d. The investment community is voting with their money what they think about NOVLs performance. If this continues more chaos will ensue.

Dr Schmidt take charge of this thing and

1. arrange a major partnership

2. announce a buyback
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