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Microcap & Penny Stocks : Coram (CRH)--has the turnaround begun

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To: JohnD25 who wrote (25)7/16/1998 8:58:00 AM
From: professor   of 85
 
I think that the next six months will be very interesting for Coram. Fundamentally, CRH has improved as evidenced by the second quarter. Beginning July 1 a lot of healthcare companies will start to be reimbursed for medical costs in a different way. This is significant. A lot of companies have been hurt recently by the transition. I think CRH should fare well in this new environment. As other companies profit margins improve I believe the whole sector will rise along with CRH. CRH should outperform the group. Another catalyst is the ongoing possibility of merging or acquiring Apria. As you have probably read in the papers there have been several overtures by CRH to acquire Apria. There still seems to be an opportunity there. If something happens I think analysts will be bullish. At these prices it is a value play and worth waiting for a catalyst. Given the debt restructuring announcement and resigning CEO Amaral the risks of owning CRH are extremely small. I think we should see the stock rising over the next few months. This stock could easily get to $4-6.
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