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Technology Stocks : TAVA Technologies (TAVA-NASDAQ)

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To: John Arnett who wrote (7448)12/18/1997 11:41:00 AM
From: Jack Zahran  Read Replies (2) of 31646
 
The price drop is happening for the obvious reasons. No new news has come out in the last couple of weeks other than the new stock registrations. It doesn't take much sell volume to bring the price down in this scenerio because the MM will keep bringing it down until the market becomes active. The Short interest is actually positive from the point of view of creating more buy volume as the price dips further. The short interest will add price stability and may at times bring it up as the shorts cover.

For a security to fluctuate a point or so during these quiet periods is not alarming. Consider the season we're in. The end of year protfolio management will have it's affect. What I see here is a tremendous buying oppurtunity that is being borne out of end of year dynamics, general market sentiment and the typical pessimism that is created whenever someone doesn't receive weekly assurances. The volume doesn't justify the price drop. I feel this is definetly an oppurtunity.

The stock registration is to me a very positive sign. We are expecting some huge news over the next few months:

1. New contracts, including contract with Fortune 100 company.
2. Upgrade of the stock to National Market.
3. Record core revenue growth. (Sales and Bevone)
4. Greater than expected Y2K revenue. (Remember that initial expectations were for May 98, now Feb 98).
5. New Product announcement (UtilityY2KOne).

How many other core oppurtunities will be realized from their huge Y2K marketing efforts. TPRO is getting huge brand name recognition. Every Plant and Utility will be expesed to TPRO's marketing efforts whether directly, by word of mouth, or one of their many alliances. This effect can only be positive.

This is no longer a small company stock and we should stop viewing it that way.
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