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

To: Jim Baker who wrote (1948)	8/2/1998 1:03:00 PM
From: Ibexx	Read Replies (1) \| Respond to of 3424

Jim, Re. know there are a certain group of investors that would not like this to happen (Ibexx) Not true, and it's dangerous to put words in my mouth. Being a long-term investor of SAP, I don't really worry too much about any short-term maneuvers or operational tactics by the company as long as they are in the best interest of the company (as well as its shareholders) in the long run. Long term, only the topline & bottom line drive the stock performance. Ibexx

To: Jim Baker who wrote (1948)	8/2/1998 7:47:00 PM
From: mauser96	Read Replies (1) \| Respond to of 3424

Is liquidity for the big investors a matter of the number of shares, or the dollar value of the shares outstanding? I suggest that it is the latter. Putting 2 or 3 million dollars into a $30 stock with 10 million shares available will result in the same effect as if the money had gone into a $15 stock with 20 million shares available. Low liquidity means big investors drive up the price as they buy, and drive it down as they sell. This happens to some extent in even the most liquid stocks, and is one of the main reasons why active mutual fund managers usually do worse than index funds. Stock splits in situations with limited shares outstanding might add to the attractiveness for small, less sophisticated investors. Certainly stock splits usually help the price, even though it doesn't alter the earnings.