Schilit has some influence, and he got a typical response to his 'exclusive' market letter. In the very short term, who benefits most from the 'call' (excluding the author)? - those who respond instantly when the bell rings, i.e. the sheep. True, they have some information, but since they have done no analysis of their own, I would not call them informed:
sheepusa.org
However, that was probably only a small percentage of the sellers yesterday. Many who dumped their shares knew only that a nebulous 'report' was floating around somewhere in cyberspace. The immediate impact of the report was probably due more to the uncertainty it created than the substance of it.
As far as the IDI acquisition is concerned, we're talking about how $11M was allocated between the two categories "current software products" and "software technology under development". The discounted present value of the current software was determined to be $2.25M. If that calculation was good (so said Pricewaterhouse Coopers), the remainder must necessarily have been in the other category, unless neither designation was correct.
Was it unreasonable to ascribe the major portion of the value to a Livelink-integrated module to be developed? Livelink generates the bulk of their revenues and is it the core of their present and future business.
Will
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