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Technology Stocks : Neomagic Corp. (NMGC) -- Ignore unavailable to you. Want to Upgrade?

To: SIer formerly known as Joe B. who wrote (2584)	2/19/1999 12:49:00 PM
From: Scott Moore	Respond to of 3645

Thanks Now we know why. Well if everyone wants to trade this stock today, where is it going to be next Tuesday when volume tapers off, there is no news, and triple witching effects are gone? With a short term ceiling of 15 and recent 12 bottom, maybe it is just best to range trade it for a couple weeks? I've got to think the company is going to throw out another positive news tidbit after today's downgrade, to keep other analysts from jumping on the downgrade bandwagon. Cheers

To: SIer formerly known as Joe B. who wrote (2584)	2/19/1999 12:50:00 PM
From: Bill Fortune III	Respond to of 3645

With the volume at about 3,000,000 in the first 2 ½ hours and about 3,500 trades we have seen fairly have selling pressure all morning. I think part of the selling this morning was due in part by this news release: biz.yahoo.com which says that BB Rbrtsn Stphns change from a Strong Buy » Buy. I personally think that is bull. I believe if this keeps up even at a 60% reduced rate we just might see the tide turn to buying after lunch (EST). I will throw out a SWAG that the volume will reach about 5 to 5.5 million by the close of the day. Someone said we need an increase in volume well we got it. In my opinion NMGC can just as easily go to the reverse and start moving up if the volume over next few trading days continues strong. Good trading to one and all. Regards, Bill Fortune III

To: SIer formerly known as Joe B. who wrote (2584)	2/19/1999 12:51:00 PM
From: The KOF	Read Replies (1) \| Respond to of 3645

APPARENTLY THEY DOWNGRADED BECAUSE A NEW ANALYST IS COVERING IT NOW AND HIS OPINION DIFFERS FROM THE OLD ANALYST.... NOTHING TO DO WITH THE COMPANIES CURRENT OR FUTURE RESULTS..... THAT'S JUST OUTSTANDING. ALSO OF NOTE IS HE STATED THE EPS AT .33 MISSING ESTIMATES... WRONG... WRONG... WRONG... AND THE DOUBLING OF EXPENDITURES IN R&D FOR THE QUARTER ARE NEVER MENTIONED AT ALL AS HAVING A NEGATIVE EFFECT ON EPS, JUST THE VERY SLIGHT DECLINE IN GROSS MARGINS..... IN SHORT THIS GUY IS AN ASS WHO DIDNT DO HIS HOMEWORK. Research dated prior to September 1, 1998 was prepared by an entity that was acquired by BancBoston Robertson Stephens Inc. NeoMagic reported FQ4:99 EPS of $0.33, one penny below our and Street consensus. Revenues of $72.0 million were ahead of our $70.8 million estimate. Gross margin at 39.0%, was 97-bps below our estimate, causing the EPS miss. Neomagic continued to show strong market penetration with an estimated 50% market share in notebook graphics accelerator market in FQ4. We estimate that unit volumes were up about 35-40% with a 7-8% ASP decline. The company expects systems to ship with its upcoming 3D product in Q2. The company also announced the acquisition of ACL, an Israeli company and Mitel Semiconductor's Optical Storage division. We believe that these acquisitions will position the company in the emerging DVD and camera markets. We are slightly reducing our revenue estimates for F2000 from $311 million to $305 million, with EPS unchanged at $1.36. We are adjusting the rating from a Strong Buy to a Buy, driven primarily by a change in analyst coverage.