Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : 3DFX -- Ignore unavailable to you. Want to Upgrade?

To: Michael Linov who wrote (7415)	9/18/1998 5:45:00 PM
From: Michael Linov	Read Replies (1) \| Respond to of 16960

Oh yeah, your EPS will become 1.49, and EPS will be 10.0. Not really a better situtation at all.

To: Michael Linov who wrote (7415)	9/21/1998 8:11:00 AM
From: RDH	Respond to of 16960

Michael: "I realize that this is hypothetical, but without a fundamental shift in investor attitude, I think a buyback at this time would be a stupid move at best." Michael, in this case I think the buyback itself will cause a fundamental change in investor attitude. Investor confidence and trust is currently low for TDFX. Since actions speak louder than words, a buyback would be one of the most significant ways to instill confidence. My main point it still that I am appalled that anyone in charge of running a company at this level, would make a public statement to the fact the share buybacks do not have a positive impact on the value of the stock. In my opinion, either the person is incredibly ignorant about the stock market or is not being candid. I believe that latter is the more likely. In addition, the principle is that one buys shares (individual investor or institutional investor)as an investment (as opposed to speculation) because it will provide a good return on the original investment. For a company (with significant cash) not to buy back stock means that they believe they have a better use for their money. I would rather have the CEO say this ("I have a better use for our cash") than to make a statement that the company won't buy back shares because it won't help the stock price. - RDH.