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Non-Tech : TCMS - Transcoastal Marine -- Ignore unavailable to you. Want to Upgrade?

To: johny who wrote (80)	4/28/1998 10:45:00 PM
From: 007	Respond to of 201

Have patience. Things are developing nicely. But to answer your question, keep in mind that TCMS is a small new company. It takes time for momentum to develop and it will take time before investors feel comfortable enough to give it a market pe. Today, was another big step toward reducing earnings uncertainty. Yet, it only reported .03 per share. The current price is a lot for a company reporting .03. Next quarter's estimate is .32, so it will move in anticipation of rising earnings. If they report .32 or better, it will probably fly after that announcement, because the uncertainty of those larger earnings will be removed. So far their highest earnings have been .09, so it is understandable that the market remains skeptical or unaware of its future prospects. Our advantage is that we know the company now, and we know where it is headed. Your complaint about how the price is low is our opportunity. That's why this stock is such a good buy. The main thing is that their business is very strong and sooner or later the market will reward that regardless of what the drillers happen to be doing that particular week. Once that earnings growth is proven, the pe should easily expand to 20 within a year. Based on current estimates, that would put us at about $22 a year from now and $30 at the end of '99. Momentum could expand the pe higher. Small caps can really take off at times because a little buying interest can really move them. In fact, it just had a five day run from 10 to 13 with very little effort. And truthfully, in a stock like this, we could even be at 20 in three months, but I wouldn't count on that. The technicals are improving greatly. We're seeing increasing up volume and declining down volume. On balanced volume is rising dramatically. In other words, this stock is definitely under accumulation. That can only go on so long before it pops through 14 and is free to run. Right now I'd say we are in the latter stages of basing, and I doubt we will hit 10 again. RSI and MACD are also very bullish. I would recommend adding on low volume dips. Keep in mind that low volume OTC micro caps can be very volatile. You can't pay too much attention to short-term moves on low volume. If they are down, which they tend to be in an uptrend, they can be excellent buying ops. Either management is tight-lipped or they got everybody in at 10, because there was no indication of trading on inside information today. Volume was light throughout without any large trades. Just nervous investors selling ahead of the great report. When you have a stock whose business is growing rapidly and whose share price is below book value, it's just a matter of time. The technicals are telling us that we probably won't be waiting very long. Best Wishes, 007 PS Conference call tomorrow morning: (800)988-9757 Password: Earnings Release.

To: johny who wrote (80)	4/28/1998 11:37:00 PM
From: Evan Dimmer	Read Replies (2) \| Respond to of 201

johny- got out a while ago, barely making profit. actually, i have played with this one many times, just barely making out with a profit, tried to pick a bottom, but never did. just recently got in again at 11.125, thinking, hoping, and now knowing that 10 or so will have been a very nice bottom. looking to hold some long term, but hopefully will unload most around 15, or in a week or two, whichever comes first. (hopefully 15!!) tcms isn't the only one acting poorly. seems the market doesn't like BDI, another that came out around the same time. Sure, UFAB and FGII they like, so why not TCMS or BDI???? (nice report by FGII though, huh???) a couple last questions for Robert: 1. not meaning to be picky, i am sure you were just estimating, but how could you bring your average down around 8, when the low is 8 13/16? did you like multiply your position by 10 or so. i mean, if you bought around 15, getting it to ten from buying at 9 or 8 would take an awful lot more shares....... 2. noticed that you sold 33% of your position a while ago, and then 25% more(?) what percent of your original position do you still hold if you don't mind me asking? is that how you lowered you AC so far, by doing FIFO, and keeping the last purchases? thanks