Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Net Perceptions, Inc. (NETP) -- Ignore unavailable to you. Want to Upgrade?

To: Sofa Kingdom who wrote (2128)	12/1/1999 11:13:00 AM
From: Walt Corey	Read Replies (2) \| Respond to of 2908

Thanks Sofa, see all? That was a well thought out, non-confrontational comment. Sofa doesn't agree with me necessarily but is curious why I believe what I do. After I tell him, he may still disagree, that's fine, no harm, no foul. If I say something totally stupid like, cuz I read it last week, then I deserve what I get. OK, here we go. 1) The entire NAZ is seriously over inflated (yeah we all know that) but I mean even for this year, it's way overdue for a breather. This is not endemic to just netp. I think when it does drop it may drop upwards of $10, not permenently just a breather. 2) I think options are going to hurt netp. In the abscence of alot of institutional investors, there are alot of day traders, making the quick buck and moving on or simply playing the dips. With the advent of a new trading vehicle (puts and calls) alot of those who are exposing tens or hundreds of thousands of dollars in long (or short) positions in netp now don't have to. Remember even these guys expect the bottom to fall on the inets, just betting netp will see $100 first. They can, as of next Mon, command the same number of shares for a mere fraction of the financial exposure. An institution would stay long and use the options to hedge their positions. A day trader would want to limit their exposure and switch to using options. Remember, it did say they will offer May, 2000 options for $45. I'd take that myself. If it hit's $70 by May I will retire before June. Be that as it may, I think we'll consequently see alot of bailing out of long positions this week. Will NETP continue to climb to new and great vistas and heights, perhaps. Is it more likely short term it'll see $30 before it sees $40 again..I think so. 3) I spent, as did alot of you folks, 5 months or so sitting on a $10/shr loss in NETP. If it hadn't climbed out before the end of Dec, I would have sold and taken the cap loss. I believe there is a immenent real risk NETP will drop a good $10 points. If the institutions are going to buy NETP they'll do it in the low $30's too. I'd much prefer to see the day trader induced volitility eliminated before I jump back in. The options are a long term good thing, the day traders will leave and go off to play their straddles and spreads. I believe this will make netp a saner 'investment', but there will be that initial price to pay as these longs leave. 4) Then there is the issue of infinitely overvalued inets, that is a completely different issue. When will NETP pop? I haven't a clue. I think that will happen within the next 12 months, perhaps within the next 12 weeks. But even if it does, that doesn't mean it sucks as a company. They may well be in the 3% of inets that survive, it'll get spanked first, that's all I have been saying, and the first spanking is staring us in the face right now. IMHO. Walt