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Microcap & Penny Stocks : ACRT about to move to new highs -- Ignore unavailable to you. Want to Upgrade?

To: Todd D. Wiener who wrote (4772)	4/3/1998 6:32:00 AM
From: Goulds	Read Replies (3) \| Respond to of 7054

ACRT has been selected as a "shadow stock" by the American Association of Individual Investors (AAII). Quoting from the March '98 journal, "Shadow Stocks are identified by applying the following screens to common stocks listed on the New York or American Stock Exchange, or traded on Nasdaq: 1. Common stock outstanding has a market value between $20 million and $100 million; this is determined by multiplying the number of shares outstanding by the market price per share. The greater-than-$20 million screen eliminates the smallest firms that may be start-ups with little data available and an illiquid market for their shares. The less-than-$100 million screen eliminates large firms that are covered regularly by many financial analysts. 2.The company has a relatively low level of institutional ownership, no more than 15%. This also eliminates firms that are covered by a relatively large number of analysts. 3. The company had positive earnings per share for the two most recent years, and has five years of data available. By requiring positive earnings, turnaround situations that may require specialized investor knowledge are avoided. 4. The company is not a financial firm, such as a bank, savings and loan, investment trust, or insurance company. These firms are screened out because their financial statements are not comparable to most others on our list. AAII's Stock Investor program, which covers over 8,200 firms, is used to screen and create the Shadow Stock list. Every year we re-examine the list, adding new stocks and dropping some old ones. Stocks are dropped each year if they fail to meet the positive earnings screen, if they merge, are acquired, go bankrupt, or are delisted from an exchange. If they exceed or fall below the market value screen by 50% (above $150 million or below $10 million) for two years in a row, the stock is dropped from the list. To eliminate small firms that have received significant institutional attention, we also drop any stock that has had over 30% institutional ownership for two years in a row. This year, 333 stocks passed all of our screens for the Shadow Stock list, with 105 firms that are new to the list." Now, AAII does not "recommend" its 333 shadow stocks, but they are smaller companies which have passed extensive screening; and they are presented to members of AAII for special attention. Just another reference which is supportive. ACRT: