Technology Stocks : Astea(ATEA) Meltdown! 23 to 8 in 1 day!


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To: Deborah Ouellette who wrote (80)9/26/1996 7:39:00 AM
From: john j. cernickey of 418
 
My feelings are that:1)the company officers are not dumping their
stock. They own an aweful lot of it., 2)the company has good
(sometimes referred to as brilliant) management, 3)the book
value @ this point is very high relative to the price of the stock,
4)as of 9/15/96 there were about 57,000 shares shorted (I mean how low
does shorty think this stock is going to go(up pressure to cover)).
5)the company has some pretty hefty sized customers to sell reoccuring
services to, and 6)they've recently made a big committment to overseas
expansion.

I believe the stock is dowm on what is commonly referred to as the
cockroach theory. If there's one bad quarter, there's bound to be more.
But conversely, sh_t happens. I can't believe ATEA would come out with
the notion that last quarter's loss was attributable to nothing more
than a couple of big Ks that weren't closed and than it turning out to
be something else. When it comes to peoples money, people don't fool
around. Plus as I said, the insiders are still holding tight, despite
last quarter's loss. That's the way I see it and these are only my
opinions.
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