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Technology Stocks : Osicom(FIBR)

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To: craig crawford who wrote (7888)8/10/1998 9:48:00 AM
From: CMS27  Read Replies (2) of 10479
 
>>Proof and perception are two different things. Osilongs are finding out the hard way that perception plays a significant role in the pricing of stocks.<<

This is exactly the reason that the Barron's article is so damaging. It appears that almost a year later that extensive investigations have been ongoing, still nothing directly linked to Osicom or Chadha and Witz has not been charged. Even your worst case conclusion is that Par associated with the associate of a criminal. I'll give you that this is an undesireable thing, but it hardly rivals the perception that the article gives.

I would venture to say that shareholders of this stock could sue for this "journalism". Because it is perception which had a role in driving down this stock. Sure they are a small cap tech stock, developing new products and so far have weak fundamentals. But you know the right market perception will easily overlook that. Many high fliers have 0 earnings. Barron's has yet to produce anything of substance that relates to Osicom, even a year later. Damage could easily be proved as well, just look at the trading activity the day after the first article.

Scott
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