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Technology Stocks : ACTM $100 Million Cable Modem Contract with MOT -- Ignore unavailable to you. Want to Upgrade?

To: Rob Preuss who wrote (599)	3/11/1998 6:17:00 PM
From: P.Prazeres	Read Replies (1) \| Respond to of 1250

and wasn't it greenlaw who was "optomistic" before last quarter's report before the bomb was dropped. Paulo

To: Rob Preuss who wrote (599)	3/12/1998 1:21:00 AM
From: Gordon Quickstad	Read Replies (2) \| Respond to of 1250

In a little over 6 months, the stock has fallen from $48 to $10.125. Doesn't this disprove the "efficient market" theory? The stock was overvalued at $48 and is undervalued at $10 1/8. The market is punishing the company for losing its earnings momentum and for not informing its investors better. Pina, with his large share, probably figures he can do whatever he wants because it will effect him more than anyone else. Well, any 10% of his investors who run for the exits will take him down too. Share value is stored in a large shallow pan, not a deep narrow bucket. It doesn't take much tipping to spill the whole value. The same thing could happen to Bill Gates, but Gates seems to recognize it in his conservative estimates and guidance to investors. Ever wonder what would happen to Microsoft stock if Gates decided to wake up tomorrow and dump 10% of his 25% of the company? (2.5% of total shares). The stock averages about 0.6% of its shares trading each day. The stock would go down more than 2.5% and everybody's (and his remaining) value would go down (on paper) by the same percentage. So when they say Pina or Gates is worth X amount of dollars by taking their shares times price, it's pretty ficticious (because it's so illiquid). Anyway, Pina will protect his own interest in the company best by taking care of his shareholders; they will sustain the value of his holdings.