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Technology Stocks : ATI Technologies in 1997 (T.ATY) -- Ignore unavailable to you. Want to Upgrade?

To: Yarek Szolomicki who wrote (3841)	8/4/1999 8:21:00 PM
From: SBHX	Respond to of 5927

More likely scenario: The employee stock options that expire in august are all exercised and sold, and the stock starts to climb back up again for the next quarter report. In Canada, if someone exercises stock options, you get taxed the gain immediately as income but 25% is tax free (that leaves a tax rate of about 36%+). Even if you hold on to the stocks after the exercise, you still have to pay taxes. That means there is no advantage to exercising and not selling. At some point, all these options would have been sold. When that day comes, supply and demand balance will kick in and fundamentals should take over. P/E of 16+ is incredible for a tech-stock.