Ted:
if they really don't know how to operate that Ferrari, why don't they invest in some talented outsiders who can speed-shift?
I believe they have done exactly that as recent as last year, in addition to themselves becoming extremly wise. The management does have a lot of integrity and belief in their business mission (after all they own most of the outstanding shares).
You state:
> Better yet, why doesn't some other company recognize the immense
> underlying value ot this company, acquire it, devoid themselves of
> the non-performing management, and make a mint?
Well, that is one of the speculations that I believe has caused the stock to go up. However, I personally, do not believe the management is up to selling the company (not yet anyway).
Again, in my opinion, if someone wants to assign his/her highly speculative portion of portfolio to a company, Sapiens can very well be the safest of the candidates, mainly due to their rapidly becoming mature Object Pool client-server technology and hopefully its usage with the new thin client and software componization technology, extensive international exposure, loyal customer base, dedicated management, and consistant revenue and earnings growth for the past 4 quarters. Again, and I do not know how to emphasize on this, SPNSF (as the stock) should be considered as a highly speculative investment, mainly due to its recent runup, and still not predictable revenue and earnings growth despite its consistant delivery of revenue and earnings for the past 4 quarters, in addition to having the characteristics of a small/micro cap stock, which as many know it can collaps with even the slightest indication that a negative news/rumor is about to come out). But then I suppose I am yet to see one high tech stock (big or small) that did not have this last characteristic!
Regards,
Addi Jamshidi |
