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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 210.32-5.6%Feb 6 9:30 AM EST

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To: Verkaylac who wrote (22367)10/20/1998 5:38:00 PM
From: IceShark  Read Replies (1) of 164685
 
won't it make it harder for the manipulators to manipulate once float is increased?

First off, a stock split is not guaranteed, but seems likely. The risk on splits is the stock really tanks later and becomes single digit, or worse yet sub $5 and falls off the Fed margin list, ala IOM. That doesn't seem to be in the cards anytime soon.

A split will have no effect on control of the stock as long as the large holders maintain their overall share of total float. And short ratio remains as high.

There is one major drawback though. Buying options and hitting home runs will be much more difficult. Getting a 30 point move out of a 110 point stock is much easier than out of a 55 point stock.

Regards, IS
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