To: Sean Rieber who wrote (8589 ) 10/22/1998 4:05:00 PM From: BigAppleBoy Read Replies (2) | Respond to of 44908
I have a good friend that works on the floor of the NYSE and he told me once"a stock is worth what people are willing to pay for it".In other words even if you have the good earnings,profits,sales and everything else,it dont mean that your stock will move unless people want to buy it. Here is a good example.FP(NYSE)it was trading 40-60 dollars for Months with very low PE and earnings of 3.88 per share.Somebody spread rumors on the net about the CEO which the majority was lies.The stock went from sixty dollars down to as low as 1.50 in less that a few days.Now it has been trading in the 4-5 dollar range and it dont look like it would go back to the teens anytime soon either.Why?The big players pulled out their money because there is not upward momentum on this stock anymore.Basicaly people are not willing to pay more than five dollars for this stock.Now FP has PE ratio of 1.22 which is unheard of in this market. So,stocks move based on news,hype,company presence in the market and not just earnings. Here at TSIG we do have future growth but we dont have company support.In other words,the company dont support its stock price by showing to the public how motivated they are,about future plans and progress,and their business plan.I have never seen a public company that dont have a business plan,and if we have one,why dont we publish it so the shareholders can see it and know what to expect. Why do you all think KCAP moved up the last few days?Because of these PR's,and if you read them,the majority of the news are just hype,but at least the shareholders benefit from it.EOM Here,holding all my shares waiting....... Good luck