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Technology Stocks : TAVA Technologies (TAVA-NASDAQ)

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To: RAVEL who wrote (17789)5/29/1998 9:59:00 AM
From: Rick Bullotta  Read Replies (4) of 31646
 
Yup. That was enough for me. Dumped everything, made a little money, and now I'm out for a while so that my wounds can heal...my latest rough-cut guestimate came up with about a $6.00 long term share price ($100 million revenues, 6% after tax profit, 20 PE) and I have a feeling an analyst with some "juice" will come to a similar conclusion eventually...

Major factor for me was the sheer # of shares out and the inability to ramp up resources and billings as quickly as I feel is necessary to hit analysts estimates looking forward...

IMHO, TAVA is a great company with a very promising future, but I think the expectations bar has been set too high, and any surprises will be on the downside, not the upside, so I can't feel warm and fuzzy with a long position anymore. There will be money to be made in "tween-Q" fluctuations, though, on good news and bad news. Bummer.
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