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 : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: Mark Iguchi who wrote (39313)	2/14/2000 11:00:00 PM
From: David E. Taylor	Respond to of 45548

Mark: It will be interesting to see how that will play out. I agree that the discount between COMS and PALM will slowly evaporate as D-Day approaches, but will that offset the decline in price of both PALM and COMS as people sell to lock in gains, with the expectation that they'll be able to buy both cheaper after D-day? I played that with the TWX/AOL merger. There was a 23% discount between the 1.5 AOL for TWX rate on the day of the merger announcement, so I bought TWX, thinking any AOL decline would be offset by what I felt would be a rapidly narrowing spread. I was right (kind of), but AOL's decline almost wiped out the discount, and I came out only slightly ahead of where I would have been if I'd just dumped AOL and waited. We'll see -- a lot depends on what the discount rate is and how much selling takes place prior to D-day. Interesting how we're all beginning to count our chickens, isn't it? Usually that's a sign of bad things about to happen. David T.