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

To: Ibexx who wrote (1737)	7/26/1998 10:38:00 AM
From: Mike Buckley	Read Replies (1) \| Respond to of 3424

Thread, I don't try to predict short-term prices, so take what I'm about to write about that with a grain of salt. I think the timing of the NYSE listing is more important in the context of end-of-quarter window dressing. That occurs less than a month after the listing. If SAP is perceived as a great stock reflecting a company with a great future, the mutual funds will want to show it on the list of stocks they own. Once the stock gets listed the options will soon follow. That will likely increase the volatility, especially around triple-witching days and reporting of earnings. For a more long-term approach, I have to wonder if the liquidity issue Ibexx raises isn't far more important. As I understand it, most of SAP's product has been developed in-house. If a listing on the NYSE results in a much higher stock price over the long term due to increased awareness and access to the stock, it's possible that SAP might change their product-development strategy to include more acquisitions. It's not as if the stock hasn't risen a lot, but an even higher stock price might make it more appealing to acquire companies using stock transactions. --Mike Buckley