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In the second half of 1996 there was a fair amount of insider buying of WCAP. And, true to form, the company turned profitable in the quarter ending 12/96. There was a sharp run-up of the stock price from below 1 1/2 to 2 the week before earnings were announced on February 14. Since then the stock has rallied to as high as 2 1/2, but recently has slumped into the 1 3/4 range. It is likely there will be another rally before the next earnings announcement in mid-May. If the company's investments remain on track the overall trend should continue to rise. The insider buying was in the 1 1/2 to 2 range. Winfield Capital is a small business investment company. They went public in October 1995 and the stock traded as high as 11. It took awhile for their investments to pay off and so the stock drifted down to the 1 1/2 range. Now the investments are bringing a profitable return and the stock (hopefully) will move back to its IPO price of 6. I believe the warrants (WCAPW) give the right to buy WCAP at 6 sometime in 1998, so that should be managements goal. I would sure like to hear what others think. Ferrell | ||||||||||||||
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