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Technology Stocks : MetaCreations (MCRE) - Detailed Goo in a Soapy Dream

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To: Patrice Gigahurtz who wrote (440)12/11/1997 6:07:00 PM
From: Eric Hautemont  Read Replies (2) of 846
 
Patrice:
Yes the short answer is 2 days (not to mention to weeks) can make a huge different to the revenues and earnings, as most software companies recognize revenues on a shipment out basis, not on an actual sell-thru basis (like the semi guys). So if you have a new version of a product with a healthy backlog that ships the last day of the quarter, that can typically make a huge difference. Historically, the December quarter should be very strong. I think however that the downside in this market (graphic software) is way too high for the potential upside. This stock (and others) could go down to 6 in a heartbeat, and I don't feel like taking that chance.
Eric
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