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Technology Stocks : Sapiens International Corporation (SPNSF): Turn around...? -- Ignore unavailable to you. Want to Upgrade?

To: DD™ who wrote (1035)	2/9/1998 2:39:00 PM
From: Bankceo	Respond to of 1936

I am new to the stock and bought some today after the conference call. Management's purchase of the insurance consulting firm was very cheap--a few hundred K---and accretive in year one. They said that backlog was "Significantly" above last quarter; which is positive. I asked them about the $14MM contract and they are booking $2.8MM per quarter starting last quarter--so they are not playing games with the numbers. They sounded positive--and that 1998 will be the peak for Y2K business. They have a good position in the overseas market for Y2K. I think this is a $12 company some time in 1998--based on a PE of 30 and earnings of $.40. Also, their margins are improving and it sounds like they are being conservative on backlog estimates to prevent a hype of the stock. I was impressed enough to take an initial position. In my judgement, for the Y2k companies in general, the next quarter is key to get business moving to warp speed.

To: DD™ who wrote (1035)	2/9/1998 2:48:00 PM
From: uu	Read Replies (1) \| Respond to of 1936

DD: > I've about lost all my patience with this stock. One thing I have learned with SPNSF is that when you are least expected things change dramatically. At this time I believe the downside risk is not much, while the upside potential is huge. I am very frustrated also but at the same time and because I know of the management, a lot of international big guys are involved with this stock and I have a strong feeling they will soon be buying big blocks of the stock once the little guys are out and they feel they have reached the bottom. With SPNSF it has always been the case that big guys have known of things months in advance. And now I can understand why they gradually sold out and brought the stock from mid $10 to its current levels! The purchase of this small IT insurance company deal will have an effect on the number of outstanding shares and thus the stock price in the very short term. At $6 and change I believe SPNSF is currently undervalued (based on its current balance sheet and fundamentals and furutre potentials) and I am betting the big guys (mostly international) are aware of this and they will soon be back in the stock in big numbers. For now the retail investors seem to be getting out. But as is the case these retail investors (people like you and I) are always late! Most either buy at the high or sell at the bottom! The past few months decline in the price was not without reasons and big guys knew it and kept selling their shares! Now they know of SPNSF's next 6 months potentials and believe me they know it is outstanding. This is a company with absolute top notch Jewish oriented investment mind management with strong international investors (bankers, industrialists, etc), and you can not possibly find any better combination to make money at these levels. Believe me being patient with SPNSF a little longer and not being shaken by the stock price coming down to perhaps the low $6 will be very very rewarding to you in about 3-6 months from now. I am also running out patience but knowing what this management can do I am holding on to my shares as tightly as I can! Regards, Addi Jamshidi