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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: nokomis who wrote (90245)	3/27/2000 11:42:00 AM
From: Bob Biersack	Read Replies (1) \| Respond to of 120523

nok..here one opinion!!.....depends on the situation. In cases where the stock was pumped just to throw the warrants in the money so they can be called the stock usually collapses after the call is completed. In cases where there hasn't been any overt pump effort a warrant call is a minor negative. As the call date approaches many of the warrant holders will sell their warrants. The market makers end up buying most of them and they then immediately hedge off their exposure by shorting common stock. The shorting of the common by the MMs creates some downward pressure on the stock. ARIA's average daily volume is more than 3 million shares. There's about 2 million warrants getting called. At less than 1 day of average daily volume this shouldn't hurt the stock too much