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Technology Stocks : 3DFX -- Ignore unavailable to you. Want to Upgrade?

To: Marc who wrote (13506)	6/27/1999 11:33:00 PM
From: Joe C.	Respond to of 16960

Very interesting post - a couple of things come to mind: All the sales were done on the same day - that's a lot of volume - checked trades (posted below)- most of the sales were done at or near the low - day of and after announcement there was very strong volume on the up - which then turned on the 21st. So.... RSSF who was the primary underwriter, was also their secondary underwriter advised on their takover of STB is one of their primary market makers handles most of their large volume trades and probably (my guess) handles all the TDFX management accounts Issues a re-initiates coverage (that they stopped because they were advising on the takeover) just before the insider sales though I don't know whether this was the first day that they could legally do so. Interesting. On the other hand, none of the insiders would have sold prior to the takeover since before Christmas - all of them probably had big bills figuring Santa STB was coming to town - that May date might have been the first date they could legally sell after the takeover (don't know how to check this)- stock was truly flying at the time so expectation was it would go much higher. What probably happened: RSSF put up a no brainer re-initiate as soon as they could and TDFX management unloaded some shares after a long dry spell. My (conspiracy theory) conclusion, RSSF knew there was a lot of shares coming their way so they beat the bushes to scurry up some buyers on which to unload. Either way - no big thing. Joe C. Trading around the 19th t0 21st from Yahoo: 26-May-99 19 20.25 18.75 20.1875 368,800 20.1875 25-May-99 19.25 19.375 18.375 19.0625 202,100 19.0625 24-May-99 20.6875 20.9375 19.125 19.125 739,900 19.125 21-May-99 20.875 20.9375 20.25 20.5 1,044,100 20.5 20-May-99 20.6875 21.4375 20.5625 21.25 783,800 21.25 19-May-99 18.9375 20.625 18.875 20.375 1,881,900 20.375 18-May-99 16.5625 18.9375 16 18.875 1,820,600 18.875 17-May-99 17 18.5 16.0625 18.375 910,000 18.375 14-May-99 18.8125 18.8125 16.75 17 375,600 17