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Technology Stocks : Y2K (Year 2000) Stocks: An Investment Discussion

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To: John Sikora who wrote (11674)5/20/1998 8:41:00 PM
From: DD™  Read Replies (1) of 13949
 
"SEEC has 5$ a share cash...At 10 and change we're paying 5 bucks for the company operations"

The book value, however, is only $2.77/share per YAHOO..

biz.yahoo.com

In actuality, one is paying a book value premium of $7.28/share.

Although cash is a good asset to look at from a liquidity standpoint, book value/share is a more realistic method to guage support levels.

A firm could have $5 cash/share, but that could be offset by $5 in current liabilities. Hence, it is more a measure of "quick" liquidity.

DD
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