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Technology Stocks : Adaptec (ADPT) -- Ignore unavailable to you. Want to Upgrade?

To: Arthur who wrote (3888)	10/20/1998 2:52:00 PM
From: OrionX	Read Replies (1) \| Respond to of 5944

What's up? Stock is over 12 and going up like crazy!

To: Arthur who wrote (3888)	10/20/1998 6:37:00 PM
From: Starowl	Read Replies (1) \| Respond to of 5944

The company website Investor page has had Stephens listed as "President" above "Interim" CEO Boucher for awhile (several weeks?). I guess this just makes it official. Something else is responsible for the surge in stock price today, which is actually a continuation from last week. Several factors, I think: - A big factor is the spate of fairly good earnings in the tech sector. IBM and Microsoft today, Q-Logic, Intel, and several others. These may portend (or represent to analysts and institutions) a turnaround in technology revenue. - Adaptec's board and Boucher have taken some very major steps in reorganizing the company since July. When added together they look good. It's a nice picture, but it has taken some time to get used to it. Look at some of the steps: CEO, CFO, and Treasurer step down; Ridge is sent packing; severe cuts made in personnel; major paring back of marginal areas of work by forming one new subsidiary (BroadLogic for the satellite business) and two new strategic alliances by moving out the storage and fibre channel assets. - Yesterday the company announced that its cash could be spent on its own stock. With interest rates coming down, this is probably a very positive step. Move up to $200M of cash out of low yield areas into--The Company. Hmmmmm. Maybe The Company knows something. - Today, a formal announcement of a "new" president and CFO. What's left for tomorrow, day before earnings are announced? In short, Adaptec has been behaving in ways the market likes and the market has been behaving in ways investors like. The relatively large volume today is a positive sign, especially when it cannot be tied to any specific news. Have analysts gotten wind of another important announcement this week? Maybe. Just maybe. In any case, I am reminded of the lyrics of an old Fred Astaire song (from Depression days): "Things are looking up, in this wonderful world we live in, yes things are looking up." (Applause) Starowl