To: NY Stew who wrote (1464 ) 1/12/2000 1:23:00 AM From: Uncle Frank Read Replies (1) | Respond to of 6516
I know we're all long term buy & hold players here <g>, but just for interest, the following was published in today's Options Investor Newsletter: Gemstar develops, markets and licenses proprietary technologies and systems aimed at making technology user- friendly for consumers under the VCR Plus+ name. Gemstar is a leading provider of electronic program guide services, which allow users to view a television program guide on screen, obtain details about a show, sort shows by themes or categories and select shows for tuning or recording, all through remote control. Gemstar's primary source of revenues has been license fees paid by consumer electronics manufacturers and publications for the licensing of the VCR Plus+ technology and the right to print the PlusCode Numbers. Gemstar had a very exciting December that drove the stock into the wonderful heights of new highs. On December 14th, GMST split it shares 2-for-1, putting an exclamation point on an excellent year for GMST. On December 23rd GMST was added to the NASDAQ 100. This very exclusive club has become a very important investment vehicle for Index fund owners. It makes sense in light of the huge gains for the NASDAQ 100 Index last year. Demand for the shares of GMST increased because of inclusion in the "Q's". Since December, Gemstar has suffered a bit of a hangover, with the shares pulling back to $61 after hitting $79.50. It looks like the profit-takers are out of the way. Relative strength has been very good for the shares of GMST the past few days although it did slip a bit into today's close. New support has been established at the $60-$61 level and the stock convincingly broke a two week downtrend on Monday. Indications of the break from a downside channel put the stock back up, possibly into the $90's. A bullish position on GMST can be placed at current price levels on a flat opening. If we get lucky and there is a little selling follow through on the opening you could get a more favorable price. If the shares drop below $65, wait for $62 before initiating any positions.