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Strategies & Market Trends : The Rational Analyst -- Ignore unavailable to you. Want to Upgrade?


To: HeyRainier who wrote (1166)6/15/1998 1:15:00 AM
From: Grantcw  Read Replies (1) | Respond to of 1720
 
Hello Rainier,

I have another stock pick that I'm looking at, but haven't entered.

It's VSNR. The company seems to have a top position in the scanner hardware and software markets (see recent news release) which are growing rapidly due to everyone's desire to place pictures on the internet.

Poor management took IPO money a few years back and wasted it. Bled losses for a while, but new management came in about a year ago and straightened things out, posting positive earnings the last two quarters.

Their software is packaged with Hewlett Packard's scanner product which helps to show its quality. The company wants to grab 20% market share this year of a large scanner market, but is only priced at 2.5 or ~50 million market cap.

Couple of bad points are a recent patent lawsuit against the company and a decent size insider sell filed a few weeks ago as a 144.

Technically, the long-term downtrend seems to be broken, but the stock price is in a short-term downtrend right now which is one of the reasons I haven't entered it.

Any thoughts?

Thanks in advance,

Grant