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Technology Stocks : Hummingbird Comm. (HUMC) -- Ignore unavailable to you. Want to Upgrade?

To: Method who wrote (1283)	1/29/1998 8:37:00 AM
From: Dr. J	Respond to of 2018

If by liquidity you mean more stock will trade, yes. And the spread should reduce by about 1/2. But if n people traded s shares before, and now n people traded 2s shares they are still paying the same overall cost in the spread. The split only benefits if it increases the number of people trading the stock. At the current levels I can't see that it would help. IMO this company's problem is (a) lack of respect for Canadian s/w companies, (b) analyst pessimism about their market and perhaps (c) just being in the shadows. (c) is great and can work to all of our benefit if the stock is eventually discovered, which it will be as long as earnings continue to grow. HUMCF is trading at the same level as a year ago, when earnings were less - perhaps the stock was over-valued at that point. My guess is that growth has slowed because of product transition, and that if growth increases again the stock will take off - for that to happen 2 out of 3 of NFS Maestro, COmmon Ground, and Andyne have to be successful IMO. I just spent a few days trying out their products and talking to a big customer I know. The products are great. We'll see whether everybody else thinks so.