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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: jeffbas who wrote (7676)	7/6/1999 3:25:00 PM
From: Michael Burry	Read Replies (1) \| Respond to of 78748

Well, bye-bye to Champion for me. It looks like a new closing low today, and I said I would sell at the new low. So I stuck to it. Hope it gets ridiculously cheap. If not, well, I get the tax loss as a consolation - and I could use it. Thinking of buying Clayton to stay in the sector, but am willing to be patient. Meanwhile, used the proceeds to buy Keane (KEA). It's one of those Y2K stocks that ran up furiously last year. It and Analysts International (ANLY) both made my screen last week. Managers of both companies give clear, specific reasons for their difficulty - loss of Y2K revenue AND delay of non-Y2K revenue. Keane's managers say that they expect to resume 25% top-line growth (and 25+% bottom-line growth) after the Y2K bump is passed. There's been some insider buying. ANLY has a lot more insider buying, and its managers too say that they will resume historical growth once Y2K is passed. Interesting to me is that both of these companies have been creating shareholder value steadily for years, but only in the last couple did they become stars. Keane had more Y2K work than ANLY, and is five times larger. My thinking is Keane got a lot of contacts and leads out of its Y2K work, which can only help going forward. The ANLY situation is similar, but on a smaller scale. Keane has hit some economies of scale, with 30+% ROE and high ROA with good margins. I think you could bet on either horse. The stocks basically move together. ANLY pays a decent dividend. I went with the larger concern, whose managers own 20% of the stock already, mainly because I don't need the dividend. Valuations on both are remarkably similar. BTW, Fair Isaac looks higher for some reason. Anyone find a reason? Mike

To: jeffbas who wrote (7676)	7/6/1999 11:11:00 PM
From: peter michaelson	Read Replies (1) \| Respond to of 78748

Jeffrey: Do go on, please. Tell us more. I am beginning my research immediately. peter Here's a little tidbit.....fractional shares bought in at 7 times the market price!! ITEM 5. OTHER EVENTS. On June 28, 1999, Genzyme Corporation distributed 0.17901 of a share of Genzyme Surgical Products Division Common Stock, which we refer to as GZSP Stock, for each share of Genzyme General Division Common Stock held as of the close of business on the record date, which was June 14, 1999. We distributed approximately 14.8 million shares of GZSP Stock and paid cash for fractional shares at a rate of $25 per share.

To: jeffbas who wrote (7676)	7/12/1999 3:15:00 PM
From: Allen Furlan	Read Replies (1) \| Respond to of 78748

Jeffrey, excellent post on gzsp. Its my kind of buy and hold situation and I initiated a position today. Will be buying slowly over next several months. FWIW a low risk 32% annualized arbitrage play is available on kntk. Pre 13E3 issued(proxy request to SEC) for 8.29 cash buyout. 8K was dated 5/14 and there are no regulatory issues since this is management buyout. Company has about 6 dollars cash and book of 9. Shares hard to buy. I picked up 2000 at 7.875 and expect my cash by end of August. Good place to park cash for short period.