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Technology Stocks : Novell (NOVL) dirt cheap, good buy? -- Ignore unavailable to you. Want to Upgrade?

To: Paul Fiondella who wrote (23168)	7/21/1998 9:09:00 AM
From: ToySoldier	Read Replies (1) \| Respond to of 42771

Paul I would agree with you in most of your statement. The employees have gone through some really rough times over the past couple years while some other tech companies were growing fast. But, the part I would not understand (not saying that you are wrong on this though) is why the employees that have now made it through the rough times, they see the NOVL stock inching its way up, they know better than all of us the power and marketibility of NW5 and NDS on NT , and they would take a short-term small gain when supposedly a much better gain is just down the road? I do believe you when you say that employees might be taking their current gains and running, but it sounds like its a panic gain. If I were an employee in that situation, I wouldn't take my investment direction from my CEO, I would take it from what the industry and market feel for NOVL. Schmidt's buying of NOVL stock would be a verification of my investment decision but not a deciding factor. But each NOVL employee may think of their situation differently. I know of one NOVL employee that sold his entire NOVL stock holding in early Feb because he needed the cash for a major purchase, he is kicking himself now that he has seen what the stock price has done right after his selloff (he didnt have much choice though). Good reasoning though Paul. Toy

To: Paul Fiondella who wrote (23168)	7/21/1998 12:07:00 PM
From: Spartex	Respond to of 42771

Paul: <<That is why I suggested that this was the time for Schmidt to buy stock in the open market. The fact that he doesn't do so sends a negative signal to this investor. I wouldn't expect the employees to hold their shares if the CEo isn't out there buying the stock and showing he puts his own money where his rhetoric is.>> Since I'm not one who has followed insider buying by CEO's, COO's, CFO's of tech companies, I would appreciate your's or anyone elses knowledge on what others have done (buying shares on the open market) assuming they have a large package of options already in their contract package (I believe Schmidt has somewhere around 2 million or so available). In other words, give me some examples of other new CEO's that have recently come into managing a tech turnaround and their "insider" actions. Did Lou Gerstner, of IBM, do the same (buy shares) of IBM the first year at the helm? I have no idea, and hence, can't be critical of Schmidt's "insider" activities (inactivity) at this point. Regards, QuadK