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Microcap & Penny Stocks : Tokyo Joe's Cafe / Societe Anonyme/No Pennies -- Ignore unavailable to you. Want to Upgrade?

To: jackal 44 who wrote (26928)	12/12/1998 8:19:00 PM
From: kendall harmon	Respond to of 119973

NSPR thoughts: Friday was a hysterical overreaction in this "shoot first ask questions later" environment we are in. First Call mean estimates next year were for .88/share. Yahoo lists the mean estimates at .87/share. The company could see that the Arrowhead Group of Companies outsourcing contract and one other one were not working out as anticipated SO THEY TOOK THE INITATIATIVE and guided analysts lower. Even given the optimistic estimate of .90 for next year, the company lowered guidance by 6 cents to .84 cents for next year. This is a less than 10% cut for the year and the stock is taken down over 42%. The most important part of the press release is: "The company does not anticipate any other changes in operations that would have a material adverse effect on earnings." Not only are they being proactive and not dropping a bomb out of the blue, but they see no other changes. This means that a good company in a growing area, ranked 29th out of 151 in its industry group, which until today had 4 strong buy ratings and 1 moderate buy rating is now selling at a discount to a number of the other key companies in this sector. Further, as even Joe Kernan pointed out on CNBC, nationsbank montgomerey, who made the prominent cut Friday at the beginning of the day, still very much likes the company longer term. Look for a recovery on Monday.