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Technology Stocks : Commerce One Inc - (CMRC) -- Ignore unavailable to you. Want to Upgrade?

To: Stockman_77079 who wrote (1095)	4/1/2000 3:38:00 PM
From: Pruguy	Read Replies (3) \| Respond to of 1938

Stockman, I am more than happy to discuss this with you. I am not speaking for Prudential or Doug Crook, but I happen to think the reasoning is very correct. In fact I got my clients out between 210 and 248 for the exact same reasoning. The reasoning goes basically like this. At the beginning of the year, I and others were buying CMRC on a few assumptions 1)They would emerge either as the leader or number 2 in their marketplace. 2)They would be developing portals for businesses and industries and sharing in some of the revenue. They would essentially own these portals outright. Any assumptions of future revenue and profit came from 100% ownership of the portals. When the first GM/CMRC deal was announced it was clear they were not 100% owners. At that point it seemed logical that revenue and profit estimates would need to be revised. No one seemed to be doing this or even acknowledging the structure of the company had changed. For better or worse,thats why I decided to sell on the strength. I believe Crook's angle is essentially the same, plus he is acknowledging their are many more participants in the market than was thought 6 months ago. It is merely prudent to acknowledge these new developments. That is all he did. He did not ever use the word sell or nuetral. He went from a buy to an accumulate. Personally I think he should have done this sooner. There seem to be more risks today for CMRC than I could forsee 3 months ago. All the new deals they are announcing are not totally unexpected. What is unexpected is the industry portals being owned by the industy players themselves as well as the strong showing that Oracle has had, and the entrance of Microsoft. The beauty is that you dion't have to agree. That is what makes markets. It is hard though to refute the analyst for acknowledging these developments. I am surprised others haven't done so as well.