Altaba Inc. (formerly Yahoo) Message Board

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Technology Stocks : Altaba Inc. (formerly Yahoo)

AABA 19.63

0.0%

Nov 6 4:00 PM EST

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To: Bill Harmond who wrote (7889)	3/6/1998 1:12:00 AM
From: Michael Collings	Read Replies (1) of 27307

I do believe there has been large amounts of stock already sold by institutions. The very frequent numbers of large blocks trading at the bid is indicative of big players unloading stock. The heavy volume last Friday, Monday and today are also indicative. However, I also agree that there may still be more out there looking for a home. So I won't say it's over yet. But I do believe it will be soon. I am sure that the analysts and managers love this story but even they have a limit on how far they will carry this. Because right now Yahoo is just a story and we have all seen many stories before. I doubt that many will risk their reputations on a possibility that may or may not work out. Sure there is potential, but at some point you have to realize that 4 or 5 years of that potential is already factored into the stock price. And one other point, Money managers have shareholders to answer to. No one cares about the story when they just lost a lot of money. Also money managers are generally pretty aggressive traders, not the buy and hold indefinitely type. They are bonused on their performance and are looking for stocks that will be able to sustain that performance (bonused= taking the noun "bonus" and making it into an illegal verb). A stock who's price has already discounted 4 or 5 years of "possible" future earnings isn't likely to double in price anytime soon (unless they can successfully squeeze shorts consistently). But remember they need to be able to get rid of their shares also so there comes a point that continued squeezing defeats the mission. They're not about to ride it down. With this stock, you also have the float increasing significantly, so it becomes harder to continue to enact these squeezes. The trigger point on this recent squeeze came on the same day that the short interest was published showing that it had dropped by a half a million shares. That was followed with the heaviest volume day ever. Think the big guys were just sitting on the sidelines watching? I don't. I think they were dumping shares on the shorts who were scrambling to cover. And remember the shorts have learned a pretty hard lesson with this stock and that is don't let this stock get too far away from you. So they are quick to jump in to cover. You have to have a ton of volume to get all these institutions out with a profit. They outnumber the shorts two to one, and they also compete with each other. Throw in insider selling and further shorting and that means a ton of buyers are needed. I have to believe that the MM's are very busy locking in their profits right now. And that's why I think it will be sooner than later.

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