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Technology Stocks : Gemstar Intl (GMST) -- Ignore unavailable to you. Want to Upgrade?

To: unclewest who wrote (3256)	7/7/2000 6:47:00 AM
From: capt rocky 1	Read Replies (1) \| Respond to of 6516

taxes? you got PROFITS? WOW !!!! going fishing now. rocky

To: unclewest who wrote (3256)	7/7/2000 8:46:22 AM
From: JH	Respond to of 6516

<the problem i have with your last suggestion is taxes. this is a real consideration...i got most of my shares last oct on the big dip...around 36-38...the gain is still short term.> Dear UW: Yes, tax liabilities weigh heavily for those who are selling with a short-term gain. Sorry I forgot - taxes are not a factor for me since I'm not a US citizen/resident. Lucky me... I think GMST can do fine as a LTBH. For you, perhaps you can just take a "long" position in TVGIA to capitalize on the conversion discount, if the risk is acceptable. I haven't quite figured out what the downside risk for TVGIA would be, however, should the merger be blocked... The downside may be substantial, since it's now trading at around 150x prospective P/E. However, despite of the naysayers, the stock seems to be holding up fairly well. As a contrary indicator, that's a healthy sign. The 20% conversion discount appears to be the "make or break" level. If it balloons to beyond 25%, the deal is in danger. Otherwise, if it starts shrinking again, I'd say the deal is hunky dory. We're currently straddling the fence. My belief is that the conversion premium may test 22 or 23% amidst the storm of negative rumors during the next few weeks, only to eventually shrink to zero. Is there definite proof that the merger will stifle innovation, raise prices, and harm the consumer? I'd like to see discussions on the thread on this subject...