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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 (2135)8/20/1998 3:47:00 PM
From: Mr. Pink  Read Replies (1) of 18998
 


TNSI is overvalued and should be sold or sold short.

Company is overvalued for many reasons outlined in the CFRA report.

Self dealing management: company bought modem business from ceo and
venture capitalist who started tnsi.

50% of sales to 5 customers all of whose contracts expire withing 2 years.
Company recently renewed one contract only by entering into non-economic
transacion, effectively buying the business.

Per transaction prices dropping.

Huge insider selling

Margins declining.

Target price $8.00/share.

Mr. Pink
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