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Pastimes : The Justa & Lars Honors Bob Brinker Investment Club

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To: Justa Werkenstiff who wrote (5028)5/9/1999 4:45:00 PM
From: Justa Werkenstiff  Read Replies (2) of 15132
 
** SFAM Note **

One of the possibilities re the SFAM price action si that it is in play to be acquired. Many have speculated that NVLS may be looking to buy SFAM on the cheap to give it the CMP presence in the market. While this is certainly a possibility, the advocates of this position have looked solely at the price action of SFAM and not at NVLS. Usually, the suitor company's stock price will go down short term if it is perceived to be the acquiring company. In any event, one must assume that the suitor company will undergo some type of price action on some nice volume in anticipation of such a takeover. BUT Novellus on Friday had a 1/16th price move on half the average normal daily volume. I would view this as unusual price/volume action should the takeover rumor prove to be true.
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