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Technology Stocks : Spectrum Signal Processing (SSPI)

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To: WTSherman who wrote (2025)12/10/1998 2:57:00 PM
From: Czechsinthemail  Read Replies (1) of 4400
 
But, the performance of the stock is not consistent with the kind of story we have all been hearing and telling each other. The positive FACTS that you cited should be enough to keep the price from constantly shrinking, even without analyst coverage or whatever other excuse we make up to account for this fact. Even if only from word of mouth, employee to friend to acquaintance, a solid story gets told and starts to reflect in the price of a small co like this one.

Welcome to another instance of the inefficient market hypothesis. The differences in the perception of what should be and what is makes a market. And more specifically, it is what makes bargains. Eventually, when everyone's attention is drawn to the story, there is a significant earnings history and a climbing stock price, everybody looks back and wishes they had seen it earlier or wonders why they didn't buy more when it was such an obvious opportunity.

Some people like to buy flowers, others like to buy seedlings or seeds and are willing to wait for them to grow. Now, when you get a chance to buy seedlings for the price of seeds. . . .

Baird
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