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Biotech / Medical : XOMA. Bull or Bear? -- Ignore unavailable to you. Want to Upgrade?

To: Wink who wrote (5382)	1/27/1998 5:08:00 PM
From: Tharos	Read Replies (2) \| Respond to of 17367

Off Topic Wink, They were doing a fair job of diversifying and bought into a Kosher food business. Krantor is a food broker and thought the company they were buying was a brokerage, but found out it was a full blown company that wharehoused and delivered. Krantor sued and eventually won, but the costs hammered the stock. That whole ordeal should be just about over. Then they did the ultimate no-no and reverse split their shares 1-25 in an effort not to be delisted from NASDAQ Small Caps (Part of that NASDAQ solution for dis-honest brokers where they limited investor opportunities rather than put the brokers in jail). Kran has everything going for it that it did when its stock was valued at $25 (split adjusted) and more. The company has little overhead, as it is just a food broker. They've patched relations with a major customer, added Calamari from China to their list, and also added a cigar maker, and have an exclusive on some phone cards. They continue their expansion with a very important and costly lesson behind them. When they reverse split they did not increase the float. Very few shares are in float (but that could be a negative/dilutive if they continue to issue more). Everything points positive. I had taken a major position before they ran up to $3 and unloaded in that area on a varying spred with pre and post-split shares but ended with a near double. I am now reaccumulating. Technicals look reasonable, fundamentals look reasonable, company has fallen off radar screen of most investment firms, still some above average risk associated with its current recovery (don't bet the morgage money ;-)) End-o-year at $5-7 would not be unreasonable. Temper this with my last year prediction that Xoma would end year in 20's. Hope that ramble answered you questions. Note to all: this is a recovering company, reasonably speculative, and I do own stock in the firm. Do your own research to deltermine if company fits into your investment objectives. (That should keep NASDAQ Big Brother off of my back).