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To: Robert F. Newton who wrote (12592)3/5/1998 11:10:00 PM
From: V.  Respond to of 17305
 
Bob,

Got your message, thought I'd just do it here...

That is some scary P/E! ~200

I don't know how much you're looking for, but the next line of support is around 12, of course, so there's a couple of points in there possibly, but except for the outrageous P/E, as a short, I truly don't see it. I don't follow this one, have no idea about anything up and coming on it, but from the chart alone, it's come down significantly recently already and unless you're banking on earnings being a disappointment which doesn't seem to be the expectation, looks like just a couple of points downside from here if that. Frankly, I'd suspect it to move back toward 15ish soon enough. The higher downside volume today was a market dictated move, probably not unique to to this one. ;)

It appears that they are still rated a moderate buy, were a strong buy last week, so that's a decline in bullish sentiment, but the quarterly and yearly estimates are positive and the ANALysts are looking for growth which would not be conducive to a short.

If you know this one well, and think it's a play, then by all means go for it; personally, I would let it go, or maybe take a hedged position. Tee hee hee

I'm sure Kev will now come out and say, "SHORT THAT SUCKER LIKE THERE'S NO TOMORROW!!" lol

xoxo,
V.



To: Robert F. Newton who wrote (12592)3/5/1998 11:42:00 PM
From: Trader X  Read Replies (1) | Respond to of 17305
 
I wouldn't short that.

stock has traded within a well defined trend channel since the top, and is now at the bottom of said channel. (Draw a line connecting the the series of lows.) If it behaves as it has, it should bounce up off the trend channel bottom.

-kh