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To: smallstocks who wrote (3622)12/4/1997 11:12:00 PM
From: John Ritter  Respond to of 10786
 
I just found this thread.
This may sound like a dumb question, but is this stock going back up to 25? I can't find any fundamental data, but there is a good story here from the looks of what I've read.

Thanks in advance



To: smallstocks who wrote (3622)12/5/1997 6:11:00 AM
From: Hardware Heister  Read Replies (1) | Respond to of 10786
 
Fact: ALYD is marginable - if the firm your shares are with will allow it. No clue why in the world they wouldn't.

Stock brokerages don't like to do margin calls any better than you like to get them. A margin call pisses customers off, ultimately causing them to trade less and therefore making the brokerage less money. If not handled properly (i.e. within the proper time period), they can also put the brokerage in violation of various securities lending laws, of which they are only allowed so many a year before they start to attract the wrong types of attention.

Therefore, most brokerages are more restrictive than the general rules are on marginability. And most will base their marginability eligibility on the prior trading history of a stock on a national exchange. Thus it is possible that it may take a while for your particular broker to allow you to own Alydaar on margin.

You should call your broker and ask about their particular policies and when they see marginability for this stock.