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Technology Stocks : Novell (NOVL) dirt cheap, good buy? -- Ignore unavailable to you. Want to Upgrade?

To: sepku who wrote (27976)	9/1/1999 11:30:00 PM
From: Paul Fiondella	Read Replies (1) \| Respond to of 42771

Watching NOVL On the 31st of August we saw what could happen when institutions bought. Today Sept 1st, we saw the pattern of dumping Novl in anticipation of the Win2000 release. There are no fundamental reasons for the stock slide, just market psychology. (The current quarter should be very good at Novell. Moreover Schmidt has taken steps to smooth out the revenue during the next two quarters.) But Greenspan has the market spooked and people do not understand the weakness of Active directory. People who do not follow this stock probably see the SLitz departure as some peaking of netware sales or failure of netware to sell as promised and they see MSFT coming along with a new release to "finish Novell off". I don't think any of this is true. IT is just that the company is going aggressively after internet business after reestablishing Netware as a good NOS choice. This quarter should be fun to watch. The best opportunities are when you get it before they do. We had an enormous number of 25 and 22.5 calls sold today. That may mean that we are seeing some people buying calls and then taking the chance to short the stock. We may see that pressure tomorrow. If the stock should break 22, I would begin looking at some of the cheapened calls to play the earnings report in late Nov. Of course we have Greenspan. The $$$ as was pointed out here previously is the problem not labor costs. Another rate increase barring a 1987 style weakening in the $$$ would be excessive. This should be a great quarter for tech companies. This stock is also oversold. ========= See you guys after Labor Day.