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Technology Stocks : PROGRAMMER'S PARADISE (PROG) -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (2251)	10/15/2000 11:37:28 AM
From: Carl R.	Read Replies (2) \| Respond to of 2383

The block transferred in at least 4 smaller chunks, some at 3 and some at 2 15/16, so I took it to be a privately negotiated transfer. The market makers did not behave differently after the transfer than before it, so I don't think it passed through them. Considering the tiny trading volume in this stock I'm sure that a block that size would be more than they would be willing to hold for "distribution". I would agree that 4 is not impossible, and I think 3.50 is likely. The risk is that they don't adjust their corporate cost structure after the sale of the European operations and thus continue to lose money, in which cash the cash per share will prove to be illusory as a defense to a falling share price. Actually the biggest risk is that they have no strategy at all. If they have one, they certainly have given no inkling to investors as to where they are going. Are they committed to growing the internet sales, now that the interenet retailers are failing? Are they going to shrink down to a fraction of their former size and try to plod along with 5% a year domestic growth? Are they going to acquire some additional domestic volume, perhaps a failed e-tailer? Or are they going to liquidate the company? I have no idea, but my desire to hold the stock depends on the strategy. My preference would be for them to start buying back shares. Since the stock in under cash/share this would have the peculiar effect of raising the cash/share on the remainder. Then I would like to see the sale of the domestic operations. Under that scenario I can envision a final liquidation in the $6 range, or perhaps above depending on how many shares they are able to repurchase at cheap prices. Carl