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Technology Stocks : Sapiens International Corporation (SPNSF): Turn around...?

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To: Vin P who wrote (15)2/26/1997 6:46:00 PM
From: uu   of 1936
 
Vin P.:

> Profit taking pulling SPNSF down to 3 7/16 before late buying bring
> it back! Where does it go from here?

Well the recent price movement of SPNSF is a perfect example of
"BUY on the Rumors, Sell on the news"! Today the news hit the
street regarding the earnings. This has been THE BEST earnings
report SPNSF has had during its entire history as a public company!
This is the first time they are showing good revenue growth and
great profits. What has impressed me very much is not so much of the
net profit but the revenue growth despite the high dollar. I am
as in the words of Alan G. 'rationally exuberance' about SPNSF's
future prospects. I will definitly HOLD on to my shares and despite
the fact that I am totally against investing in under $10 stocks I may
make an exception to this philosophy and may add more to my
existing shares.

A few things are of importance here:
1. SPNSF has a global presence, especially in the Eastern block
countries and South Africa. This is extremly great for SPNSF and
its Object Pool line of products.
2. Object Pool has been ported to Windows NT and also UNIX.
So no longer it is IBM MainFrame specific. This is another great
thing for SPNSF. SPNSF has a marketing deal now with HP where
HP also will be doing some of the marketing of Object Pool for
Sapiens. This is one attempt by HP to go after IBM's mainframe
business and compete in the same area that Sun Microsystems is
doing with HP (that is going after IBM mainframe).
3. Despite the high value of dollar I was extremly impressed the
revenue increase and the profit margin and net income. This is
a great sign especially if dollar comes down (which seems to be
doing so).
4. The management is very wise now after going through a whole
bunch of naive, and stupid actions!
5. SPNSF has settled all the law suits. So it is clear for take off.

Therefore if you are a new share holder and would like to invest part
of your portfolio in sort of a semi-speculative stock, SPNSF should
definitly be one to consider first.

Regards,

- Addi Jamshidi
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