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Technology Stocks : THQ,Inc. (THQI) -- Ignore unavailable to you. Want to Upgrade?


To: Sigmund who wrote (13369)2/13/2000 10:34:00 PM
From: blankmind  Read Replies (1) | Respond to of 14266
 
i have now see this ref to the 100k 22.5 puts, but can not find any open interest on this. was it closed?

quote.cboe.com



To: Sigmund who wrote (13369)2/14/2000 12:35:00 AM
From: Emmo  Read Replies (1) | Respond to of 14266
 
I'd think blackmail is a better word. And they can do it legally, through the blessing of the SEC and short interest rules.

If business will be so flat for THQI then why did Piper Jaffray keep it's strong buy and ING Barings start with a "buy" after a analyst call around by BF? Why in the world would BF even discuss Q1 and Q2 projections if they have yet to post Q4 and 99 results? There is no way Piper Jaffray keeps his "strong buy" if he thinks 2000 will be flat. It's an issue of credibility for the analyst. They are very aware of the short interest.

Of course only time will tell if this is a credible explaination. In theory shorts will now cover as they have little to gain from this point forward. I believe analysts have gotten direction from BF on just how sucessful the N64 and PSX wrestling games will be in the next couple of quarters. If THQ could beat estimates without wrestling Q3 then I seroiusly doubt they post wimpy numbers with two WWF titles. In addition they can afford to be conserative with Smackdown shipments as it is much quicker to burn new CD's then to have N64 cartridges built. CD inventory will be much easier to ship to demand.

Shorts that stick around will see their risk increase exponentially. I don't see any more concessions from BF. In addition, once Q1 numbers start leaking out, and they are far better then estimated, then shorts will have nowhere to hid. Also, what if XFL license goes to THQI? What about Europe? What about a suprise from GameBoy title sales?