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Technology Stocks : PALM - The rebirth of Palm Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Square_Dealings who wrote (1402)	8/27/2000 4:42:53 PM
From: Starfish*	Read Replies (1) \| Respond to of 6784

So Michael, investment advisor, does your short recommendation still stand or are you wthdrawing it? Message 14282324 Also Unbelievable says 532m being unlocked Mon. Message 14282212 Hmmmmm incorrect spamming?

To: Square_Dealings who wrote (1402)	8/27/2000 4:55:39 PM
From: David E. Taylor	Respond to of 6784

Michael: Apology accepted, and I appreciate the fact that you were willing to post it. You're entitled to your opinion of GS, as are others, and anyone can give their PALM recommnedation as much weight as they like, positive or negative. Since I have access to their research through my DR broker, I happen to have a fair opinion of their work, particularly in some of the tech businesses - no one could say that Rick Sherlund made the wrong call on MSFT recently. Maybe SI chose to put my post up as a "cool post" because I characterized the GS report on PALM as similar to those I have in my files on MSFT, INTC, DELL and CSCO from the late 1996/1997 time frame, but that's just a guess. And again, there never was any "lockup" on the 532 million PALM shares (as the poster on the Market Direction thread erroneously claimed). The 532 million were the shares retained by COMS (after the 3/2/00 IPO) for distribution to shareholders on 7/27, at which point they were freely tradable, by institutions as well as individuals. Of those 532 million shares, institutions got around 273 million - Janus is the largest with around 45 million in 6 funds, based on their COMS holdings on 6/30/00. Is GS pumping PALM so they and/or their institutional clients can "dump" part or all of their PALM holdings? Possible I guess, but unlikely IMO. As I pointed out in an earlier post, GS was the lead underwriter for the PALM IPO, and I would think that building a long term investment banking business with PALM is more important to them than a quick profit. But that's JMO, and others will think and act differently. PALM over-priced at 20 x trailing sales? Maybe, but they're growing revenues at a 100%+ annual clip from last year's $1 billion plus, so they have a much more solid base and prospects than many other companies with similar or greater multiples. I'm a holder unless/until they stumble, and with the low cost basis I have (like Janus et al), I can afford to give them the chance. Good luck with your own investments. David T.