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Technology Stocks : K-Tel (KTEL) Have the cheesy '70s records come to an end? -- Ignore unavailable to you. Want to Upgrade?

To: Van Nguyen who wrote (644)	4/21/1998 9:20:00 PM
From: Mr Metals	Read Replies (1) \| Respond to of 3203

The split may hurt KTEL rather than helping it. That's what I think. I've seen splits where the stocks soar after the news.I'm not going to panic yet. Selling records of KC over the net....LOL. Now maybe if the cranked out some Led Zeppelin or Deep Purple I might consider going long, right. Mr Metals

To: Van Nguyen who wrote (644)	4/21/1998 9:23:00 PM
From: MR. PANAMA (I am a PLAYER)	Respond to of 3203

Van...motley fool means nothing to the guy that is under a margin call or forced buyin...their words are meaningless like Barrons articles time and time again about sane investing.....short squeezes are chaos schemes, supply demand situations that are forced to equilibriums over short periods of time ... I have a feeling that some of these positions are probably offshore repetitive rotating short positions wrt the house books...those that are in such positions know exactly what I am talking about...The equilibrium is setoff when stock is drawn down reducing the "float". I AM INCREDIBLE .... GRIM......AND IN LOVE.....MMMMMMM KTEL

To: Van Nguyen who wrote (644)	4/21/1998 10:30:00 PM
From: McNabb Brothers	Respond to of 3203

Van, In a normal market I would have to agree with you, but in todays environment bad news is good news for longs! As long as news services bad mouth the internet companies the better they seem to perform! It's like the tobacco problem, the more the US gov. talks about it the more kids are going to want to do it! It's all mental and no fundamentals apply at this time! Hank

To: Van Nguyen who wrote (644)	4/22/1998 12:16:00 AM
From: RealMuLan	Read Replies (2) \| Respond to of 3203

Here is one good report:Wall Street dazzled by Web alchemy By Aaron Task MSNBC/INVESTOR HAVING RISEN sixfold in the past six trading days, K-Tel (KTEL) did what would have been unthinkable just a week ago, announcing a 2-for-1 stock split. In case you missed it, what has moved the firm's stock from 6 5/8 at the close of trading April 10 to 43 7/8 Tuesday (following another 2¬ rise Tuesday) is its announcement that it will sell its offerings on-line. To the best of our knowledge, K-Tel has not invented any new technology that will speed up Internet connections or resolve troubling bandwidth issues. Selling its products on-line doesn't even address the quality of K-Tel's music titles, which some find distasteful. Yet the stock is acting as if the company has discovered the secret of turning water into wine. That friends, is mania. "K-Tel's stock never got out of its way. Then they said they're going on the Internet and `boom,' " said Scott Bleier, chief investment strategist at Prime Charter. "Are they going to do that much more business to justify that increase in valuation?" Like many on Wall Street, Bleier believes the performance of the Internet stocks is unsustainable. "If you're an individual thinking about buying them here, you should have your head examined. You'd be jumping into the classic frenzy," he said. "When you value things on future growth, you're forgetting about market risk, let alone risk in that industry where the rate of technological acceleration is so fast. If I were a corporate insider, I'd be blowing stock out left and right." Be prepared for some disclosures about insider selling at Internet stocks in the coming weeks; the kind of information that can shake investors' confidence in a given name. The most recent insider trading activity at K-Tel happened to be a sale in early March, undoubtedly with some regrets now. Additionally, there has been a string of insider selling activity at the likes of Excite (XCIT), Yahoo! (YHOO), Lycos (LCOS) and Infoseek (SEEK) in recent weeks and months as those search-engine stocks continued to soar higher and higher. Also, be on the lookout for revelations about insider buying at some of these firms ahead of Internet-related announcements; the kind of information experts say often gets the attention of Wall Street's regulators. On March 31, for example, Mark Burka, director of Market Guide (MARG), bought 45,000 shares of stock at $3, according to Investor. Market Guide rose 15 1/16 to 23 Tuesday on word it has signed an agreement to provide financial tools to America Online's (AOL) personal finance site. Market mavens like Bleier and Bill Meehan of Cantor Fitzgerald say those long on the Internet stocks will soon get their comeuppance - just as did many owners of biotechs and other favorites before and since. However, the day (or days) of reckoning for the group probably won't be Wednesday. The momentum is still too powerful.