Eric:
<<Why the big move.... just internet/tech hysteria? >>
IMO today's action was a bit of short covering*, and possibly some institutional purchasing. If you look at the chart, we have only recovered from the reverse split fiasco, nothing more. We are still a long ways away from when it was 30 back in early 1997 (Although I think it is still a good buy up to that level).
If this company does make $2 next year and increases its sales for a change, who knows what the stock price will be. Osicom has the edge on the Metro DWDM market, as we are the only ones to have sold and installed working units up till now. We are waiting for the Media One announcement to see just how large their purchase was and will possibly be. (If that announcement comes out this week that could also be a reason for today's spike in price.) There is a lot of potential here and that is why, IMO, you will see this kind of volatility until the stock reaches a reasonable level, or more specifically, until the company proves itself as a company that can earn revenue, or floats along with great ideas but fails to turn them into profit as it has till now!
Brian
* Last count we had 757,106 shares short, close to 10% of total shares outstanding. It will be interesting to see if that is more or less for December!
ps. Remember the stated reason for the reverse split was so that the price could get to 5 (or 10) for institutional purchasing. |
