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Technology Stocks : Remedy Taking a hit why? -- Ignore unavailable to you. Want to Upgrade?

To: Jonathan M. Traxler who wrote (457)	1/27/1998 5:26:00 PM
From: Mo Chips	Read Replies (1) \| Respond to of 763

I listened to conf call and based on it, sold 100% today. I believe they are going nowhere for at least 12 months. They said to expect less than 40% top line growth. Given still no VP Sales, (expected hire in Q1) I say is a risk. Also, positively, they felt not as much impact from SWRT acquisition by tivoli. It seems failure in Q4 and lack of optimism for 98 stems from worsening sales efficiency, again, compounded by no VP Sales. They expect expenses to continue to grow, possibly at a rate higher than Revenue. Translation, NO EARNINGS GROWTH. The analyst confirm this. Soundview lowered estimates to .91 for '98, basically flat year to year. RMDY seems well respected for its products, however, there seems to be a cloud over management as far as their ability to execute to plan. I also am a bit angered at their investor relations. I called exactly one day before the late December drop to ask about info they are REQUIRED to file with the SEC. I was completely blown off. All I wanted were details about insider sales, which were substantial when this stock was in the $40 range. This company has NO regard for the little guy. I'd even propose that the big neg. surprise to expectations is because they also do a poor job with the analysts too. Given 0% earnings growth, I would not be surprised to see RMDY trade for $10 a share, maybe lower. $10 would still be 2x sales for a tiny and volitle software company. I was glad to get out at $15... I'd stay away from this one. Mo