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Technology Stocks : VALENCE TECHNOLOGY (VLNC) -- Ignore unavailable to you. Want to Upgrade?

To: saul mikaliukas who wrote (2943)	5/20/1998 5:33:00 PM
From: Bill Holton	Respond to of 27311

Great post. May I just add a short reminder that this stock has increased 20% over the past few trading days.

To: saul mikaliukas who wrote (2943)	5/20/1998 5:45:00 PM
From: kolo55	Read Replies (3) \| Respond to of 27311

I have a slightly different twist. I think the news today was excellent, and more than I expected to be released. But a lot of short timers bought the stock at less than 5, and sold when they saw the price almost 40% above where the stock has been trading for the last several months. Also some were looking for contract announcements, and sold without a firm contract in hand. I bought a lot of shares this afternoon at 5.75, but I'm a long term investor. I plan to hold these shares for some time. The fact that the selling dried up pretty quick after the cc is promising. I suspect as the news is digested, more people will get interested in this company. I suspect we will see flat prices, with a slow upward bias over the next five weeks, until the earnings release at the end of June. My guess is the two OEMs mentioned in the call, are negotiating with Valence on pricing. This is complicated, because of the unknowns in the marketplace for these batteries; i.e. there is no clear market price. The fact that Valence's newest batteries are showing higher performance than the original batteries that met customer specs, is very good news. This should help improve the price Valence gets for their batteries. As other OEMs and competitors have rushed out products based on small volumes of batteries produced from their developmental lines, there clearly is a lot of customers interested in these batteries. I also like the roadmap Valence has laid out, start with laptop batteries, and then build production for cellphone batteries. Finally the news that the Hanil joint venture is on schedule is great news. Hanil is investing $50M to earn a 50% share in this joint venture, so I value Valence's share of the JV at least at $50M (about $2 a share). Also its a big impartial outside vote of confidence (and $$$) in Valence's ability to make and sell these batteries. In summary, I think the risks about developing and manufacturing these batteries are almost gone, now the significant remaining risks is whether the market exists for Valence to profitably sell the batteries, and whether competitors can come to that market with volume production of similar performance batteries. I think these risks are less than the developmental risk. This stock is getting less speculative, so the future stock price trading range should reflect that. Paul

To: saul mikaliukas who wrote (2943)	5/20/1998 11:21:00 PM
From: John Curtis	Respond to of 27311

Saul: I can't speak for others but this "little fella" understands the "boys" routine quite well and if you think I'm about to sell VLNC anytime soon.......well...heh, I've got a bridge to sell ya!! ;-) Regards! John~