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Technology Stocks : SPLH is jumping -- Ignore unavailable to you. Want to Upgrade?

To: moat who wrote (11)	10/14/1998 9:51:00 PM
From: CoffeePot	Respond to of 87

Analysts revised forecast is for .10 per share for the 4th quarter, hopefully they'll beat it like they did last quarter's estimate. My major concern (and probably shared by many others) is the lack of revenue growth, 3rd quarter 1997 $25,264,000 , 3rd quarter 1998 $25,100,000. From my experience, just about anything is preferable to no revenue growth, even a small loss!! Without growth SPLH can't demand the premiums it was getting in market value like it has enjoyed in the past. Hopefully they can rectify this situation in the near future, though even with a slowing Asian economy they still should have been able to achieve some revenue growth. Overall it looks like a good bet from here, though I might wait before margin calls kick in before I buy more, maybe sometime next week.

To: moat who wrote (11)	10/14/1998 9:57:00 PM
From: John Goode	Read Replies (3) \| Respond to of 87

Your analysis is right on... Unless SPLH were expected to post major losses going forward (which at this point no-one expects), then this stock is a screaming buy at these levels. Not sure why the sell-off was so severe. I've personally owned SPLH and EFII, but currently do not hold any position (luckily sold out near their highs). I plan on buying tons of SPLH tomorrow, especially if there's further weakness (at 6, it's a no-brainer as far as I'm concerned). Absolute downside should be 6-ish, considering their substantial cash position. I do expect the stock to open up tomorrow, unless the whole market opens weak. Look for a re-bound to the 10-ish range by November (after tax-loss selling done).