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Technology Stocks : IDTI - an IC Play on Growth Markets -- Ignore unavailable to you. Want to Upgrade?

To: BULL who wrote (8950)	6/19/1998 9:56:00 PM
From: Hippieslayer	Respond to of 11555

It is my unresearched belief that repurchase plans only bode well for blue chippers--IBM, ATT, coke, etc.

To: BULL who wrote (8950)	6/19/1998 11:00:00 PM
From: 5,17,37,5,101,...	Read Replies (1) \| Respond to of 11555

You're right. Their own personal cash is not used in the repurchase; however, since the repurchase is essentially a dividend, it means less cash for management to squander on their own whims; secondly, it means less cash available to weather a rough economic period, which means more risk to themselves regarding job security. So when a company announces a substantial repurchase plan (>5% outstanding shares) on top of large insider purchases, it's about as bullish a signal as can be sent to investors. Finally, the repurchase increases insiders' percentage ownership, when? at bottom bargain basement prices...a steal, literally. Jackson

To: BULL who wrote (8950)	6/20/1998 1:44:00 PM
From: Rob S.	Read Replies (1) \| Respond to of 11555

I don't think a re-purchase is likely. It could be viewed as admitting that the company has not developed better use of their funds. The story behind IDT is that there are several products ready to build momentum over the next couple of years. If that's true, i.e. the products are well positioned to compete favorably, then the capital is best spent building up production and sales. I spent some time looking at the TA on the market, semi sector and IDT and re-accessing the situation. From the TA I believe IDTI will turn over the next six weeks and be up from where it is now by at least 20%. We all want to see a double or triple up move but that will depend on IDT's follow through and won't come quickly. I think the general market correction has lagged the tech stocks and semis in particular. The general correction may continue for another few weeks. 90% of "bad news is out there" for Asian concerns and tech earnings dissapointments. In three weeks we should start to hear calming or good news about companies in the sector as reported earnings near. .