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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: Sundar Rajan who wrote (41985)	5/26/1999 2:05:00 PM
From: Jenna	Read Replies (1) \| Respond to of 120523

Better for what.. long or short.. I was thinking that they should be shorted.. ??

To: Sundar Rajan who wrote (41985)	5/27/1999 3:33:00 AM
From: neverenough	Respond to of 120523

Copied this from another board, should be interesting to see if it pans out. NASDAQ: INET - A Good Idea for a Big "Dummies" Bounce this Thursday (May 27) You know they'll be some poor chaps this Thursday (May 27) calling their brokers to buy Intrenet Inc. (NASDAQ:INET) thinking they're buying INET Technologies (IPO SYMBOL: INTI), a hot new Goldman Sachs' IPO which is making its debut on Thursday. What a tongue-twister. Their mistake could be quite costly. INTRENET, INC. (INET) is actually a holding company for truckload carrier providers. Yes, we're talking 100% pure-American-made TRUCKING!! INET, the trucking company, currently trades around $2.75 which is near the bottom of its 2-year range (High of $4.50, Low of $2). INTI (INET Technologies), the new issue, however, is expected to price around $15. Thinking they're buying INTI at INET's bargain prices may fuel the expected feeding frenzy higher. Not that buying INET for its own sake is too far off the mark. Turns out, INET, the trucker, may actually be a diamond-in-the-rough itself. It operates in a strong industry with reasonable growth potential. The company has been profitable for many years and has annual revenues of a quarter of a billion dollars. That's a high ratio of $20 of sales for every outstanding share. And the company is profitable with EPS of around 8 cents a share. Company insiders have been recognizing INET's intrinsic value at these price levels all year long. In fact, they've been buying up as many shares as they can get their hands on since January, 1999 (http://biz.yahoo.com/t/i/inet.html). Obviously, the people in-the-know believe INET is a great value at these prices. But getting back to our main story. Why should INET be of any interest to short term traders this week? Well, with 13mm shares outstanding and a float of only 4.5mm shares, INET's average daily trading volume is only !!! 11,600 shares !!! Think about this for a moment. Come Thursday, when the IPO INTI (INET Technologies) begins trading, any (albeit, misplaced) buying interest in INET, the trucking company's stock, will send this low-float low-volume baby right through the roof!