Fred: Regarding your "phenomenon" comment. I believe it falls under the
category of once bitten, twice shy, from a speculative investors standpoint.
My observation of market psychology is that when a brandy new(which VLNC
qualified as one back in 92/3) company comes up with a potentially gangbusters
new product the investment/speculative community tends to go a wee bit crazy,
ie. this thing called "momentum." This is good when you're riding the wave up
and this is what VLNC experienced back in its stellar days of +$20's. However,
if the gee whiz product fails to live up to the momentums expectations 2 things
then occur(and in this order), 1) the stock crashes with a resounding thud
heard around the investment world, and 2) it becomes a "show me" stock to that
same investment community, hence my above statement concerning once bitten.
So even though VLNC appears to be back, and beginning to purr on all cylinders,
the Street ain't about to bite until shown conclusive proof, and even then the ride
up MAY not be as great, initially, as anticipated(although longer term I expect it'll rise nicely), because the "show me" philosophy also tends
to make that same community wait on earnings news. That may not be the case here
since VLNC is/will be producing "widgets" that are easy to crunch numbers against,
unlike some bio-tech company's products that have a less defined market population.
Regarding Cal's comment about meeting MOT's spec's. I rummaged back thru my
hand scrawled notes and found he stated, "We believe we can build a battery that
meets Motorolas requirements."
Regards!
John~ |
