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Microcap & Penny Stocks : The Henley Group, Inc. (HNLY) undervalued growth company -- Ignore unavailable to you. Want to Upgrade?

To: Steve who wrote (804)	3/7/1998 8:23:00 AM
From: ChrisJP	Respond to of 2232

Dear Steve, I definitely agree with most of your post. BB stock MMs definitely live to take money away from investors and naysayers crawl from out of the woodwork when a stock gaps up and the supply of shares goes to zero. But let's face the basic fact, HNLY crashed and burned for one major reason: the hype on this board was that HNLY was going to release a report stating .05/share earnings for 1997. Let me tell you, on Monday, as soon as the fact was reported on this board that the news was going to be very different, the stock started dropping. This brings up another scary fact -- most of the people buying this stock were momentum/day-trading type SI members or lurkers. For this stock to go anywhere it needs investors from many other sources. The hype story was that HNLY was going to report .05/share for 1997 and .30 for 1998. I think FawnVu posted some basic math indicating with a PE of 20 HNLY should already be trading at $1 and head to $3 by end of year. Not bad for a .40 stock ! The adage "if it's too good to be true" comes to mind. I will not even address the "book value" claim. I believe it is based on a very non-traditional definition of the term. So why does HNLY claim it ? I am beginning to believe that the real story is that HNLY hopes to earn .05/share this year (1998) and .30 the year after. So to re-cap, the people on this board not only couldn't get an impending news report straight. They didn't even get the facts straight of the non-existent report even if it had been released. Try and blame that on MMs ! Having said all this, I am willing to believe that HNLY has some bona-fide acquisition plans and that the companies it holds and plans to acquire are turning the corner and will soon be making money. This is my wishful thinking based on MGRA's last report and Jeffrey Brommer's appearance on this thread. So .05/share this year is not out the question and therefore neither is a stock price of $1 by Aug. A chance at a 250% gain in 6 months (or 2 months if their May report is good)? I have no problem with that ! When we get hard facts about HNLY's financial performance and balance sheet, investors will return on their own and naysayers will have nothing to say which can't be easily refuted. Regards, Chris