Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Sam Citron who wrote (27456)	4/16/1998 4:09:00 PM
From: yard_man	Read Replies (1) \| Respond to of 132070

I believe MB has puts on that one.

To: Sam Citron who wrote (27456)	4/17/1998 10:52:00 AM
From: yard_man	Read Replies (1) \| Respond to of 132070

Bought some AMR puts this morning. Slam dunk I hope!

To: Sam Citron who wrote (27456)	4/17/1998 11:38:00 AM
From: Knighty Tin	Read Replies (4) \| Respond to of 132070

Sam, That is the classic view on why stocks go up after a split. You widen the number of people who can buy a round lot. My view is a bit different. Stocks usually split after they have gone up a lot and they usually go up a lot when eps are coming in, or at least that is the case in normal markets. In this market, they go up because "it can't get any worse." -g- So it is just a continuation of the trend. Another theory is the one CNBS espouses. "A stock is only split when mgt. is confident about the future." VBG Must be why Compaq split recently. They may make money one quarter this year. -g- Splits also hide a variety of scameroos. Options packages and other non-economic uses of shares are often snuck into the proxy that authorizes the split. Since shareholders are dumber than red brick fences, they vote for these mgt. ripoffs because the split will make them money. MB