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Technology Stocks : IDT *(idtc) following this new issue?*

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To: Tom Gebing who wrote (1215)12/3/1998 10:22:00 PM
From: HVN  Read Replies (1) of 30916
 
IDT's business strategy - doesn't appear viable for the long term. I don't get it! They are basically a reseller of service. They have some call back services internationally, but the very nature of the reseller business is to sell wholesale services at a lower rate to the masses. However, in their case, they are only moving into an arena where the big guys will continue to cut prices and apply price pressure on IDT.

However, though I don't believe they have a long term viable business (or at least it's HIGHLY risky), they are definitely a shorter term play. I bought them the last time at 13 and sold at 20. I think they'll easily fall back to 12-13 this time round. Look at the pattern - tens to fluctuate between 12/13 and 20/25.
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