To: R.Lui who wrote (345 ) 10/17/1998 2:52:00 AM From: swedelo Read Replies (2) | Respond to of 518
TO ALL: I personally am becoming less and less concerned with the stock price. I am paying more attention to the company and what it is accomplishing. Each day now, it seems, that passes I see more good things from the company....ie OEM contract, new web site with downloadable software version of product, many existing contracts and strong probability of more OEM and contract announcements forthcoming. I can't wait to listen in on Conference Call to finally put some voices to Mr. Fox and Mr. Andruski and hear their visions for the future. As to the stock price, if the company takes care of its business the price will come back, and probably in a strong way. Let me explain: 1) Remember it is tax loss selling season. Most people who play pennies (unlike myself) are quick in/out traders. many have some huge profits from early in the year that they they need to take losses against. AETI is obviously a good candidate for this. 2) I have heard that some of the hedge funds were actually heavily exposed in the BB arena (hard to believe). Some of these large sales may be hedge funds being forced to liquidate by creditors. 3) Anyone selling for tax loss purposes would likely want to do it now, as they realize if AETI reports earnings in December that are good they will want to be back in the stock by that point in time. For those unfamiliar with tax loss selling there is a tax law known as the wash rule. It states that you can not re-purchase a stock within 30 days after selling it for a loss; otherwise, you can't deduct the loss from your taxes. In short I feel many are selling now looking for tax losses and if I am correct will try to be back in strong in 30 days. If this is the case, this is definitely the exact time to be buying. If I needed a loss this one would be a good one for me to sell, but I've done poorly enough this year I don't need any more losses...LOL! 4) I've seen other pennies go through unexplained stages like this before, only to emerge stronger than ever. Whether its tax loss sellers, MMs evening their books out, or whatever, as I stated earlier I am keying on what the company is accomplishing. And, from what I've seen in the past few weeks i am excited about the direction in which they are headed, For those of you who are day traders, I am sorry , but this was probably a bad play for you. Long term, which I am, it will all come down to whether the company can produce. If they can, and they give every appearance of doing so at this time, the stock price will eventually reflect this. Keep in mind the tax loss and hedge fund situations, you could see some sizeable buying in the next month as many return to the play after their wash period expires. Best Wishes, Swedelo