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Technology Stocks : VALENCE TECHNOLOGY (VLNC) -- Ignore unavailable to you. Want to Upgrade?

To: FMK who wrote (19038)	4/7/2000 12:01:00 AM
From: golden_tee	Respond to of 27311

Definition from the Wall Street Jovial... It seemed relevent for some reason! "Hedge fund - A private investment fund open to the ultra-rich. A favored tool of the filthy-rich, as it is an unregulated investment vehicle, with the lattitude to utilize so-called exotic trading strategies, such as short-selling and leveraged directionalism. Most hedge funds clear their trades through Bear, Sterns & Co." Can be read at: wallstreetjovial.com I like this site! Thought some might find that definition enlightening.

To: FMK who wrote (19038)	4/7/2000 12:40:00 AM
From: john t. brice	Read Replies (2) \| Respond to of 27311

Fred: I agree with you that the recent price action has been manipulated by BEST, and more recently by INCA (as Rich has pointed out). However, Zeev brings up a critical point, none of us should be purchasing this stock on margin. Given the volatile nature of the market right now coupled with the ability of several players to move the price dramatically almost instantly, this game should only be played by individuals with strong hands. duckster

To: FMK who wrote (19038)	4/7/2000 2:03:00 AM
From: Larry Brubaker	Read Replies (2) \| Respond to of 27311

<<I therefore believe this presents a wonderful buying opportunity because Valence share price has dropped far more than other tech stocks due to above conditions 1 and 2 and that its low share price is temporary.>> Actually, Fred, there are plenty of tech stocks that have fallen much further than VLNC. My general observation of the NASDAQ decline is the ones that have fallen the most are 1) the ones that went up the most, and 2) did not have the fundamentals to support #1. You seem to think that VLNC's rightful price right now is $40, which with 43 million fully-diluted shares equals a $1.6 billion + market cap. To me, that seems just a bit rich for a company that has generated $700,000 in product sales in its entire history. It is also a bit rich for any reasonable scenario of revenues and profits for the next couple of years. Did you ever consider the possibility that the only reason the stock price got to $40 in the first place (given what we currently know about the fundamentals) was the now-dying tech stock tulipmania? A mania in which literally hundreds of stocks were priced far above any rational valuation? A mania that may very well be breathing its last gasp? If so, your suggestion to margin the stock may be a recipe for disaster.