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

To: wolfdog2 who wrote (13478)	2/20/2000 11:19:00 PM
From: Sigmund	Respond to of 14266

<<< Sigmund, please reread the press release >>> I reread it and yes as written only new shares purchased qualify. That may change. If not, we are not talking about very much money. $24 - 19 or $5 max on shares purchased. Ironically the biggest beneficiaries might be the shorts who covered during this period. It doesn't seem like a strong case to me. Interestingly so far no charges on accounting fraud. Perhaps they will come later. Documentation within THQI re how they came to the conclusion it was necessary to issue new guidance will be important. Contact with investors including contacts that lead to Yahoo or SI postings will be harmful to THQI. Biggest thing going for THQI in my opinion will be that they will be held to a standard of keeping the analysts informed. Afterall the analyst's estimates were probably lower than last year. If this was the case, there was no need for THQI to announce that they would not beat next year. Given that THQI makes money on shipments rather than sell through, the question is when did THQI realize that shipments would not be enough to beat analysts estimates or expenses would preclude meeting the estimates. It is unreasonable for them to know this at the time insiders dumped. Their track record of having dumped before with the stock then going up will help them. I fail to see how informing the analysts first and only will hurt THQI. They have a pretty good but not perfect record of keeping investors in the dark. This record will help them but not as much as it would if it were perfect. It is the analysts after-all who had incorrect estimates so it made sense to correct them when THQI realized it would not meet these estimates. The response to reorders of WWF will help THQI. Advice from the analysts that this will be a transition year with lower sales in the first half will help THQI. How could they not pay attention to what the analysts were saying? With many long time longs selling, pretty soon there will be noone left to sell. What are the implications of this? The attitude of the institutions will be key.