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Technology Stocks : Oracle Corporation (ORCL)
ORCL 240.77+0.6%Nov 10 3:59 PM EST

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To: Qualified Opinion who wrote (18482)5/24/2004 11:22:28 AM
From: alydar  Read Replies (1) of 19079
 
In their last conference call the question came up about the company giving out a dividend. They said that they had no plans to do so. They are planning to use the cash to make strategic acquistions.

To me, anything less than a $0.40 dividend is meaningless and I own quite a few shares. I would like to see them grow the business using cash and eventually their stock by making acquisitions and then when the cash amount gets where it is a strangle hold on the company to come out with a large dividend. Maybe 5-10 years out. I am not so concerned about the stock price now because I believe it will adjust itself once the fundamentals improve as I expect they will.

The only problem with not giving a dividend is that you are relying on management to manage 100% of your cash. With Katz, Henley, and Philips in place I believe they have the financial experience to make good acquistions.

Alydar.
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