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Strategies & Market Trends : Mr. Pink's Picks: selected event-driven value investments

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To: Mr. Pink who wrote (1635)6/14/1998 9:48:00 PM
From: Mr. Pink  Read Replies (6) of 18998
 
To All: Mr. Pink has a new short idea.

TAVA, Tava Technologies.

This is a Year 2000 company with only 11.5mm in sales in the most recent quarter. Cash flow negative. Just entered into desperation financing with SIR Capital, perhaps the dumbest supply of money on the planet.

They have a market capitalization of 220MM yet pledged ALL THEIR ASSETS for a measely $4mm loan. Obviously banks don't agree that the company is worth anywhere near its market cap. Neither should you. Mr. Pink has shorted size. This is not a criminal stock like others mr. Pink has uncovered, just over hyped and overvalued.

There is almost a cult following with over 18,000 posts in SI. Mr. Pink expects the usual heat such as he received for CCSI, ACRT, FONX, SYES, FPAM and all the others stocks He identified early on.

This stock should be trading around 2 or three in a year after the hype runs out or after they run out of money.

Mr. Pink
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