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Technology Stocks : VLSI Technology - Waiting for good news from NASDAQ !!! -- Ignore unavailable to you. Want to Upgrade?

To: Linda Kaplan who wrote (5714)	3/11/1999 10:58:00 PM
From: Michael Sphar	Respond to of 6565

A problem, yes absolutely. Remember the Magellan fiasco a few years back. They often play follow the leader. If good fortune turns against VLSI then one might sell and the rest get wind of it and quickly follow, causing a big swing in price. Certainly there are historical signs in VLSI's history that this may have happened in the past. Quite typical of tech. Not likely right now, biz has turned for tech, VLSI looks well positioned for multi-year upturn, has hostile suitor. Sweet. But things change. "How do they usually handle the problem of selling?" They decide to sell and sell unemotionally. Its just business. Max profits, minimize losses. Not enough eggs in any one basket to get emotional. Turn it over to their trading desk with instructions to unload. Move on. Why sell now ? Why not. Got a double already. If they, and I include the smaller institutions as well, got in recently perhaps in single digits, then this price level might have been their target. Institutions hold 50% of outstanding stock. Goal accomplished. Sell now while buyers are hungry and move on. Certainly this is happening to some small extent. "The company is doing well." Good point, for selling. Sell when things are fine. Buy when things are bloody awful. Its just business. Note I'm not recommending that you sell now. You have your own goals to meet. Just suggesting a rationale that others might be following.