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Technology Stocks : NovAtel - Global Positioning Systems -- Ignore unavailable to you. Want to Upgrade?

To: Bron-y-aur who wrote (173)	7/21/1998 5:30:00 AM
From: Robert T. Quasius	Read Replies (1) \| Respond to of 191

I got out of this stock in the mid 7s at a loss, after insiders sold a majority share of the company to Canadian Marconi. Despite rosy language about benefits to the company from an alliance with Marconi, I saw the action for what it is: a massive insider sale. It's no coincidence that there was an earnings warning at about the same time. If the insiders thought the alliance was so great, then why didn't they keep their holdings and offer a private placement of stock? I completely lost faith in NGPSF management at that point in time. My advice: get out now. This stock is going nowhere fast.

To: Bron-y-aur who wrote (173)	7/21/1998 6:11:00 PM
From: David Rubin	Read Replies (2) \| Respond to of 191

It is very risky to hold this stock through the earnings. The valuation of the Canadian dollar plus the continued Asian crisis will hurt NovAtel. They may even post a loss for the quarter. On the positive side, most of the bad news is probably already factored into the price of the stock, so it may not get hammered when the earnings come out. And if it is not as bad as some expect, maybe the stock will even get a boost. But it is a huge risk. This could be the quarter that the bottom finally falls out and sends NovAtel further into penny stock land. I don't want to be negative, but I'm very happy to have escaped with only a narrow loss. Good luck to all...