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Technology Stocks : OptiSystems Solutions (OPTL)
OPTL 0.00010000.0%Jan 9 9:30 AM EST

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To: TLWatson59 who wrote (144)5/24/1999 5:00:00 PM
From: TLWatson59  Read Replies (1) of 161
 
Despite the negative behavior of the general market, the action of OptiSystems still leaves much to be desired. It is apparent that they have virtually no friends in the "street." With the kind of report they released for Q1 it's no wonder. What contributes strongly to my negative vibes is the fact that with one contract, OPTL has increased their sales figures for Q2 by 50% and yet the market seems to give no recognition to this. Why? For one thing the Company apparently is restricted from divulging the name of the customer who placed the largest license order Opti has received to date. Are there some strings attached, commitments that have not been disclosed or performance requirements to be filled before the contract becomes effective?

I understand that there were some small institutional holders of the stock and it would appear that they may be feeding the the remainder of their position into the market place. Due to the very illiquid condition of the trading market they could very well drop this stock through the floor if they were not careful. It also explains the consistent growing short position over the past few months.

Unless I'm dead wrong this group had come up with an answer to a serious problem users of SAP R/3 were having but by the time they got them out in to the field SAP seems to have come up with some serious counter actions to placate their customers along with a newly established service center in the U.S. to hold hands.

Until I see real numbers in black and white showing substantial new license sales and service agreements I doubt that they will survive the competitive battles that business faces in this arena for too much longer. Perhaps if they are lucky some one with more marketing influence will take them over with a stock swap. For me I call it a day.
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