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Gold/Mining/Energy : Star Data Systems Inc. (STY,T)

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To: Randall Cunningham who wrote ()3/4/1999 8:13:00 PM
From: Mitchell  Read Replies (1) of 267
 
The past few days are unfortunate as it would be fair to consider that what has not been suggested is the rift between Hutton and Kensington Capital. It was Kensington that was unhappy, particularly since the acquisitions of two years ago. Hutton has built sales, but the margins, cashflow and ROI has not held up. It would seem that Kensington did not want this investment as longterm play.
A good point is the internet consideration which Star to date has not advanced. This is the companies biggest threat, of course with one stroke in a partnership, Star would extend its future into many applications. Star has been at the alter before with TD and as I heard ESP, which would have been a poor all stock deal.
I notice that the trader Merit acts for the "in the know crowd". Considering the small volume and that they have not been on the sell side suggests this downturn was not expected and as I see today, their trades were always on the buy. Average in and this should be an nice gift.
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