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Technology Stocks : SAP A.G. -- Ignore unavailable to you. Want to Upgrade?

To: Ibexx who wrote (1295)	7/7/1998 11:16:00 PM
From: pt	Read Replies (3) \| Respond to of 3424

Presumably we should expect parity to remain between the price of the German shares and the U.S.-traded shares. Are the shares currently traded in Germany illiquid? Assuming parity does remain, looking for a boost from the listing sounds like saying the demand for the shares in the U.S. will be so strong that it will boost the share price in Germany above what the active (and presumably at least moderately efficient) market there deems they are worth. The coming listing is well known to German traders is it not? What evidence is there that the listing is not already priced into the stock? It certainly isn't cheap on a valuation basis, so we can't use valuation as proof the listing is not yet reflected in the price, IMO. I know that markets are not perfectly efficient, and stocks like Amazon can skyrocket upon the occurrence of an event (start of on-line CD sales) already fully known well in advance. But to buy or hold SAPHY based on the coming listing, IMO, would be foolish. If you like it long-term at current prices, go ahead and accumulate. I see down 30 points as just as likely as up 30 over the next 6 weeks. Paul