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Technology Stocks : Creative Labs (CREAF) -- Ignore unavailable to you. Want to Upgrade?

To: Fred Fahmy who wrote (12856)	11/19/1998 10:39:00 PM
From: jgideon	Read Replies (2) \| Respond to of 13925

Thanks to several of you for thoughtful replies to my post. It was meant to stir up ideas and the board responded. I agree that CREAF deserves a higher PE, but DIMD shows that all is not well in peripheral land. You can't be judged outside of your competitors, even if you nearly always execute considerably better. There always seems to be several strong buys on CREAF, but sustained momentum in the stock is sporadic. Let's hope the buyback adds the soothing predictability that has been missing. That should catch attention on the street. It seems crazy to set one's sights so low, but a forward PE of 15 would be great from this point (around $27.50). jg

To: Fred Fahmy who wrote (12856)	11/19/1998 11:08:00 PM
From: Dennis G.	Read Replies (2) \| Respond to of 13925

I don't think shorts can drive the price down. Only longs can do that. There won't likely be any significant short interest in this stock. I find it hard to believe that people are worried about CREAF jumping to some "artificially" high price. It's never happened before. Why should it happen now? I would think that most longs would actually be at least secretly hoping for a chance to sell at such a price anyway. But there is still so much overhead selling pressure that it just won't happen. CREAF is in a use it or lose it chance for this first 10%. But they can authorize another 10% in a month to support the price in 1999. There is no reason not to use it all. The stock is still 7 dollars below what it was at the beginning of the year and also where it was when they first authorized a buy back! I say take that 10% off the market and keep it off. That's 16% of the float that is no longer for sale. That will do a lot to restrict the urge to dump ahead of any "stampede" out the door. Those people who are worried about that are jumping ship right now anyway. Which is exactly what is needed. Get those shares out of their hands and into hands that are stronger. WARNING! Blatant pitch ahead! Go Sim Racer GO! Turn those machines on! Get in there and BUY, BUY, BUY! Dennis