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Technology Stocks : Creative Labs (CREAF) -- Ignore unavailable to you. Want to Upgrade?


To: Jon Tara who wrote (6491)12/4/1997 9:11:00 PM
From: set  Read Replies (1) | Respond to of 13925
 
Jon - concerning Chip's TA:

I don't want to defend Chip, who BTW has a serious attitude
problem, but here's a shot at what he might have seen.
Since you are open to discussion, I'd like to know
what you think.

the first clue was around november 21, when CREAF had
quite oddly givin up it's normal volitility. look at
chart for a long enough period (a year is good) and
you can see that the jagged lines suddenly stop. something
was changing. by the end of november, that new look took
on the appearance of a rounding top. a symmetrical triangle
late last week, which BTW was playing out in QNTM at the same
time, completed the top and the stock finally broke down.

going back further, since May there have been three successive
repeats of what had become a familiar pattern. note, however,
that each rise was smaller than the previous one. I think
that when we look back at this chart in a few months we'll
see that the topping began in July, and finally culminated
in the events of the past week.

I've been afraid of this all along. why didn't I say anything?
because I don't yet trust my ability to read these things, and
didn't want to cause a riot with what I thought may have been
a ridiculous read. it may still turn out to be just that,
ridiculous, but at this point there's so much fear that my
comments can hardly increase it.

I'm currently break even on the stock, and not happy. but
learning is hard and takes time. so be it.

would appreciate your comments.

Shahar



To: Jon Tara who wrote (6491)12/4/1997 10:14:00 PM
From: Dennis G.  Read Replies (1) | Respond to of 13925
 
Hey gang, since they're playing mind games with us, let's play mind games with them. How 'bout four great reasons why Intel SHOULD buy Creative:

1. No one could ever worry again that Intel would put them out of business.

2. Instant access to all Creative technology, including new stuff, as well as Soundblaster and Creative name brand.

3. Instantly eliminate Chay and Ng problem as well as the share buyback restriction.

4. Last but not least, $450M in cash, $100M in price assests, little debt and about $225M in earnings, give or take.

Whadda ya think? Seems to me that just being a division of Intel, with Sim still in charge would probably double the value of the company and make it a net positive for Intel. Well, at least I can dream about it tonight and maybe get some sleep.

Dennis