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Play Updates
Sunday, February 20, 2000
New Plays
Splits | Candidates
Play Updates
Splits | Candidates
Dropped Plays
Splits | Candidates

NEW SPLIT RUN PLAYS

ERICY - LM Ericsson Telephone Company $88.69 (-1.50)

Time to add ERICY to our Split Play list. Ericsson, one of the largest and most well-known international wireless communications companies, announced a 4:1 split on January 27th. Communications stocks, especially wireless ones, have emerged as one of the leading sectors of the New Year. We are happy to follow where the money is going and Ericsson is clearly setting itself apart from the pack and it cannot hurt to throw a split in there to continue investor enthusiasm. At first, a 4:1 split for a stock trading under $100 may seem a bit strange, but there is a fundamental reason that explains this unusual increase in shares. Ericsson is a foreign company that trades its Class B shares in the form of ADR's on the U.S. exchanges, whereas its Class A shares trade in Europe. Ericsson wants to split the ADR's 4:1 to help bring the Par Value's between the Class A and Class B shares more in line with one another. We cannot say that we fully understand the European tax consequences of such a move, but suffice it to say the split is an attempt to simplify the Company's tax reporting position. The split is contingent on a shareholder vote to be held on March 31st. The Company has an unlimited number of Authorized Class B shares so no further authorization will be necessary to affect the split. The payable date of the split has not been announced yet. Ericsson's last split occurred 05/22/98, which was 2-for-1. Looking at the chart back then shows us that ERICY had a very nice run into their last split, moving up approximately 71% from the announcement until the actual split date. A similar move this time around would put the stock comfortably over the psychologically important $100 price point and perhaps as high $120. A nice round number of splitting the stock back down to $30 is certainly not out of the question. The most recent breakout for the stock occurred on January 28th, the day after the split was announced in conjunction with an earnings report that saw the Company beat the Street's estimate by $0.04. The breakout above $70 lasted 10 days and saw the stock reach $92.13 before pulling back last week. New support has been established in the low $80's, which might not be a bad entry point if we get an options expiration hangover early next week. A follow through selloff is not out of the question considering Friday's dismal action. If the market is done selling off, a trade above Friday's high of $90.19 would indicate that ERICY is ready to tackle the old high and perhaps make the next move to $100. Keep in mind that we have seen many times before the phenomenon where once a stock crosses $90 it seems to want to go straight to $100 in a hurry.



Picked on Feb 20th @ $88.69
Change since picked 0.00

 

NEW SPLIT CANDIDATE PLAYS

CHINA - China.com Corporation $134.25 (+37.44)

Some investors may be surprised to learn that CHINA is at work in Taiwan, Japan, Singapore, Hong Kong, Malaysia and Korea, as well as China. The company provides content, sells advertising and operates as an Internet service provider. News of Internet expansion in these countries often positively impacts CHINA and it seems that the stream of news is picking up. Just during the last week, companies such as Clarent (CLRN) and CMGI Inc. (CMGI) have announced plans to expand investments in Taiwan. Gigamedia (GIGM) was Friday's hot new IPO - they have plans to provide broadband to Taiwan. All of this news is positively impacting CHINA and we expect the momentum to continue. The company reported earnings on 2/14. Revenues doubled, but losses doubled as well. Losses were due to expansion. Investors ran up the stock on the news. CHINA has already split once, announcing on 11/19/99 (two weeks after earnings) while the stock was trading at $117. The stock is trading well within split territory once again, gaining 11.88 points Friday. Look for entry points on a bounce up from support, or on moves through resistance. Support is now light at $130, better at $125, strong at $120 - but it may not retrace to support Tuesday. Resistance on the upside is at $140. Remember that CHINA has a history of announcing their split after earnings, so we hope to stay in this play either until the split is announced, or until the stock loses current momentum.



Picked on Feb 20th @ $134.25
Change since picked 0.00

 


GLW - Corning $193.31 (+27.56)

Corning Inc. is a global, technology-based corporation, which makes telecommunications, advanced materials and information display products. Most of the buzz surrounding GLW comes from the telecommunications segment. They are a leading supplier of fiber optic cable and photonics equipment. This is no longer the boring consumer product company that it used to be. Management has been changing the company profile for the last two years. They have undergone a major restructuring and have recently made several acquisitions that reinforce their commitment to this new direction. Monday, February 14th, GLW announced the acquisition of NetOptix (OPTX) and the photonics development division of British Telecommunications (BTY). Investors cheered the news, sending shares of Corning up to an all-time high. We believe that GLW has strong momentum behind the stock and the company is preparing for a split. On Fiday, they announced their annual meeting on 4/27. They are going to vote on increasing the number of authorized shares from 500 million to 1.2 billion. Their shares are within split range and they are announcing earnings on 4/17. We are looking for a split announcement either with the earnings report or as soon as the next B of D meeting. We may be a little early on this one but we want to catch as much of the move as we can. Support is $190 and then the 5-dma at $183. Resistance is just above the all-time high at $195 and then possibly $200. Open new positions on a bounce off of $190, or a breakout above $195. Confirm sector momentum and market sentiment before starting new plays.



Picked on Feb 18th @ $193.31
Change since picked +0.00

 


ISSX - ISS Group, Inc. $94.69 (+6.41)

You probably remember the mention of ISS Group during the hacker attacks on February 9th. ISSX was pointed out as the industry leader in preventing denial of service attacks. The Company specializes in network security and has designed a product called SAFEsuite. It is installed on servers and can detect when a subversive denial of service program has been installed on that server, unbeknownst to the network managers. Even President Clinton got behind the Company's product. Of course, momentum traders ran the stock up, then down, as usual. Now the stock is back in it's normal ascending channel, only this time it is trading much higher, with good momentum. They also have a split history. The Company has already split the stock once, announcing on 4/1/99 when the stock was trading at $80. Here we are again, trading above that level and the one year anniversary of the announcement is drawing near. Given the momentum of the stock, we don't think the big money will stray, so we are initiating this play now. We like support at the current level, but if traders like more support, try $90 or the 10-dma at $88. Resistance is at $100. Our play will depend on momentum, as this stock is dependent on continued interest in the security stocks.



Picked on Feb 20th @ $94.69
Change since picked 0.00

 


MLNM - Millennium Pharmaceuticals $273.13 (+60.63)

The group that has most struck the fancy of the momentum crowd so far this year is the Human Genome Project Stocks. The appropriately named "Millennium" is helping to redefine the term parabolic. MLNM is positioned to be a huge beneficiary of the scientific breakthroughs that will hopefully come from the research stemming from the complete mapping of the Human Genome. Think of Millennium as the company that has the tools, technology and capabilities to move the Genome Project from the research stage to the commercial stage. When Celera announced recently that the Genome has been 90% sequenced, it signaled that MLNM's time had come. There have been several splits and split announcements in this sector, HGSI and IMNX just to name two. Could MLNM be far behind? MLNM has never split in its brief history since its IPO in 1996. With 100 mln shares authorized and only 37 mln issued, an increase in authorized shares would not be necessary to affect a split. The next earnings report is scheduled for April 3rd, which is a very common time to announce a split. MLNM is certainly not a stock for investors who are faint of heart. A very nice "stair stepping" uptrend from mid-December through the beginning of last week saw shares of MLNM more than double. Then things went haywire as the stock rallied over eighty points in two days, only to fall back $41.50 on Friday. Now what? A pullback to the mid $220's could provide an excellent entry point if latecomers who bought the stock on Thursday panic in the face of any weakness in the stock in the early trading action next week. Barring such a selloff, investors might look for another bounce off the $260 level, such as occurred late Friday. If the stock starts up, you may be able to cautiously add new positions. If the stock could make a new high, then a run to $350 would not be out of the question. Prior to that occurring, expect resistance on an upside move at $300 and the old high. With moves as great as these, be very conscious of your risk tolerance and do not be afraid of taking profits or getting out of the way quickly.



Picked on Feb 20th @ $273.13
Change since picked 0.00 

 

SPLIT RUN PLAY UPDATES

ANAD - Anadigics, Inc. $146.25 (+22.25)

ANAD displayed the characteristic of a strong stock in a weak market Friday. We expected the stock to trade higher, in fact, it was our play of the day Friday. Despite a Nasdaq composite that augured lower all day, ANAD stayed positive until 2:30 ET, when it collapsed and headed for support at $140. Like many strong stocks, buyers stepped in, grabbed up the stock and headed for higher ground. ANAD managed a close on good volume in a late rally. This is encouraging; we may see some follow through Tuesday. ANAD is near the bottom of the ascending channel, which now tops out at $155 to $156. You need to watch out for $150 though. This is a strong psychological resistance area. We recommend new positions if the stock can move above $150. Moves lower to the $140 support area may signal a roll over of the stock, so it's either move higher, or we may consider an exit. The payable date is 2/29, we will exit by Monday, 2/28.



Picked on Feb 13th @ $124.00
Change since picked +22.25

 


BBSW - Broadbase Software $124.00 (+17.00)

BBSW is becoming a popular favorite among traders of the red-hot e-commerce software sector. Specifically, they develop software that helps to integrate and analyze customer information from Internet and traditional business channels, helping businesses to improve their customer acquisition, retention and profitability. BBSW announced a 2:1 stock split on January 13th. They have not announced a payable date. Despite Friday's selloff in the face of broad based NASDAQ selling, BBSW had a very solid week, due in part to the announcement that the Company's software will be compatible with the newly released Windows 2000 platform. Also instrumental to the increasing interest in the shares was the initiation of coverage by the highly respected firm of Robertson Stephens. The analyst saw fit to begin coverage with a Buy rating. Technically, there is some concern that BBSW has formed a double top at just over $140 after a nice rally from an established trading range base in the high $80's to the mid $100's. Excellent short-term support might be found at $120 with perhaps a slip to $119. If the market recovers quickly on Tuesday, a move above $130.75 may give the stock enough momentum to re-test that double top and resume its split run.



Picked on Feb 17th @ $132.50
Change since picked -8.50

 


INSP - Infospace.com $200.25 (+8.94)

The press release writer at INSP must have taken some time off. The Company was light on news during the latter half of last week, so $200 has been a real sticking point for the stock. During Friday's trading, some signs of weakness were showing as it traded down to $192.50 before bouncing quickly back to $200. That's encouraging. First of all, if the stock were really weak, it would have moved near support at $190. Secondly, the late afternoon rally progressed quickly back up to $200 on heavy volume. We are inclined to think that a strong market and just a little news would really jump-start the stock out of consolidation at $200. On the downside though, INSP has been trading sideways for 5 days, and the volume has been decreasing. If the market doesn't step up Tuesday, some profit taking may set in. We are at the top of the channel, so traders looking to enter should wait for a dip to support near $190, or look for a breakout above $208 to initiate a new position. The company has not set a payable date, so be wary of a breakdown in momentum. If they really are short on news, maybe the Company could issue a press release about their payable date!



Picked on Feb 10th @ $191.50
Change since picked +8.75

 


LLTC - Linear Technology $101.94 (-3.56)

LLTC could very well be one of the quietest major technology companies in the market. LLTC produces chips that can be found almost everywhere. It is because of their broad product offerings that the Company has been a core institutional holding for years. If you were not in AMAT, INTC or RMBS last week, it is likely that your semiconductor stocks kind of treaded water or pulled back. LLTC has a 2:1 split coming March 27th. Although the date is a bit far off for an immediate split run, it is nevertheless a contributing factor to LLTC's recent strength. After completing a nice run from $73 at the beginning the year to peak at $111.50, the stock seems to have slipped into a trading range. Perhaps a bit of consolidation between $100-$105 is in order for the stock to gather some strength before it can make its next up move. If the bottom end of the range is violated, we should find support at $95, which might be a good entry point if there is more selling in the NASDAQ. Day traders may be content to play the intraday ranges until the stock can convincingly make a new high.



Picked on Jan 25th @ $94.00
Change since picked +7.94

 


LRCX - Lam Research $138.44 (-1.75)

Lam Research makes semiconductor processing equipment used in the fabrication of integrated circuits. The stock continues to consolidate as investors await their next news release. The Applied Materials (AMAT) earnings news has worn off and LRCX was hammered Friday, sending shares down below the 10-dma to its lowest close since 2/9. On a positive note, the move was on light volume and LRCX did manage to hold the 20-dma and bounced back by the closing bell. The company has scheduled a special shareholder meeting on 3/6. They are voting on increasing the number of authorized shares to allow for the 3:1 split. LRCX has set a tentative pay date for the split of 3/7, pending shareholder approval, so there still some time left on this play. Support is now $137 (the 20-dma) and then $135. Set stops under $135 as protection. There is resistance at $145 and then $150. Start new positions on a bounce off of $137 or a strong move above $145 on heavy volume. Confirm market direction and sector momentum before opening new positions. Exit no later than 3/6.



Picked on Feb 3rd @ $140.19 
Change since picked -1.75

 


VRTS - Veritas Software $173.06 (+0.55)

Veritas Software provides enterprise data storage management solutions for file processing, network back-up and for protection against data loss and file corruption. The stock is consolidating in the $160-$180 range. Friday, VRTS challenged its all-time high, but it fell short and ended the day with a small loss on average volume. The 3:2 split is payable on 3/3 so there is still some time left on this play. The stock has support at the 10-dma of $169 and stronger support on the 20-dma, now at $162. Set stops under $162 as protection. Resistance is $178 and then $180. Look for a bounce up from $169 or a break out above $178 on heavy volume to open new positions. Start new plays only in a rising market. Exit no later than 3/2.



Picked on Feb 11th @ $172.50 
Change since picked +0.54

 

SPLIT CANDIDATE PLAY UPDATES

ARBA - Ariba Inc. $229.00 (+17.00)

Ariba provides Internet-based business to business e-commerce network solutions. The Company maintains an e-commerce platform for clients in a wide variety of industries such as technology, energy, manufacturing, and financial services. The stock has been riding its 5-dma for the last 6 sessions. It has also reached a new intra-day high in each of those sessions. In other words, the stock is trending up at a steady, sustainable pace. ARBA is holding its annual shareholder meeting on 2/28 at 4 PM EST. They are voting to increase the number of authorized shares from 200 million to 600 million. We are looking for a split announcement after the meeting. They may, however, choose to wait until their earnings announcement in April, so be ready for a possible sell off if traders are disappointed. Support remains solid at the 5- dma, currently at $221 and then $215. Resistance is now $235, and then $240. Set stops under $215 for protection. Start new plays on bounce off of the 5-dma or a break above $235 on heavy volume. This stock is extremely volatile so use caution when starting new plays. Confirm B2B sector momentum and market direction before entering. Our target is a split announcement by 2/29.



Picked on Feb 13th @ $212.00
Change since picked +17.00

 


BEAS - BEA Systems $146.00 (+38.00)

BEA Systems is a leading provider of cross-platform middleware and application server solutions, allowing mission-critical applications to work seamlessly in client/server, Internet, and legacy operating environments. BEA provides transactional, messaging, and distributed object-based software, as well as a Java web application server. They also offer a full range of services such as consulting, training, and technical support. The stock was up again Friday, breaking through resistance and closing at a record high. Volume was heavy, trading 3 x ADV on Friday. This is noteworthy because BEAS was up despite weakness in the broader markets. The company is set to announce earnings Tuesday, after the bell. We are looking for a split announcement to come out with earnings. If they do not announce a split, it may not come until May. Support is at $140 with stronger support at the 5-dma ($128). Resistance is $150 and then $160. We will be dropping this play by Tuesday's close, so set stops under $140 to lock in gains and look to exit on strength.



Picked on Feb 15th @ $120.75 
Change since picked +25.25

 


DIGX - Digex Inc. $124.75 (+29.75)

In this unprecedented period of market history, when IPO's split soon after going public, here's another candidate. DIGX is, of course, an Internet based company concentrating on helping businesses to establish web-hosting capabilities. The run in this stock has been spectacular since coming public in July at $17 per share. After a 700% increase in the price of the shares, a split is certainly quite possible. The Company has 100 million authorized shares and only 11.5 million shares outstanding, so there is plenty of room for a 2:1 or 3:1 split. Earnings are not coming out until May, so we are looking for an announcement out of a Board meeting. As of yet, we have been unable to confirm a date for the next scheduled meeting. On Monday, Paine Webber raised its target price for shares of DIGX to $130 and maintained their Buy rating. Like a self-fulfilling prophecy, the stock rallied straight to $133.75 before pulling back. Investor interest may increase in DIGX due to Thursday's announcement that the Pacific Exchange will begin trading options on the stock. DIGX also benefited, as did many software companies, from the release of Windows 2000. After a very nice run up after a breakout above the old high of $102, the stock was not immune to the selling that beat down stocks on Friday. It was not too surprising because a little profit taking was probably in order. We see some support at $120. But be careful, a break below that price would indicate a drop to about $110 or perhaps an entire retracement of the recent move. If things really fall apart, then $100 should provide an excellent entry point. If the stock recovers from Friday's action very quickly, then a move into new high ground could result in a quick run to $150 and beyond.



Picked on Feb 15th @ $128.75
Change since picked -4.00

 


GILTF - Gilat Satellite $172.00 (+11.88)

We love our timing on GILTF. Traders remain excited about the partnership with MSFT to provide two-way satellite broadband Internet service. The deal, according to executives at Gilat, is targeted at suburban and rural customers who have no other alternative for broadband access, estimated between 14 and 27 million potential customers in the US. Jumping on the bandwagon, investment bank CE Unterberg Towbin reiterated their 'buy' rating on the stock before the market Friday. The first trade gapped up two bucks at the open and the stock quickly moved higher, topping out at $180. Market weakness was a factor though, and the stock sought out support at $170 before a late day surge moved the stock marginally higher. We like the prospects for the coming week. The earnings date is Monday, 2/28 before the market. That means the pre-earnings anticipation will occur this week. It would have been tempting for traders to initiate new positions near $170 for support, but Tuesday morning may see some initial weakness from Friday's market sell off. We would consider weakness to be a buying opportunity for this stock. True support is at $160, but new positions can be entered near $170 to $175 if you are willing to take on a little more risk. Set stops a little wider, this one has good potential but is more volatile. First resistance is $180. Exit this position by the close of trading on Friday, 2/25.



Picked on Feb 17th @ $159.00
Change since picked +13.00

 


PUMA - Puma Technology $113.50 (+33.56)

Let's face it, a stock had to show relative strength to close positive Friday. PUMA managed to eke out a gain, albeit a small one. The interesting thing is, the stock stayed positive all day until around 2:00 ET, when it headed lower to support at $110. A strong bounce up from the $110 support area indicates that buyers are ready and willing to snatch this one up, and for good reason. This week, earnings are due on Thursday, 2/24. With a shortened trading week, we should expect some heightened excitement surrounding this stock, especially given that it is a split candidate. Fortunately, the stock is trading near support and traders looking to get in have a good entry point. Enter positions on a strong bounce up from $110 or on a strong move over resistance. Resistance comes first at $115, then $120. Exit this play by Thursday 2/24. Earnings are due out after the market close.



Picked on Feb 17th @ $113.25
Change since picked +0.25

 


SUNW - Sun Microsystems $92.81 (-1.62)

Sun Microsystems is a leading supplier of enterprise network computing products, such as desktop systems, servers, storage equipment, network switches, software, microprocessors, and a full range of services and support for their product lines. This is the company that created the Java programming language and that has made the Sun Sparc web server, the Solaris operating environment and their networking products popular with Internet companies. On Friday, the stock traded down to its 10-dma on light volume. This can be expected when the broader market tanks due to SUNW's index exposure. The company is announcing earnings on 4/17 and we are hoping for a split announcement to come out with earnings, or even sooner, since they last announced a split at $88 after a board meeting. The stock is currently sitting just above support at the 10-dma at $92 with stronger support at $90. Put in stops under $86 (the 20-dma) to limit losses. There is resistance at $97 and then $100. Use a bounce off of $90 or a break out above $97 on heavy volume to initiate new plays. Confirm sector momentum and market direction before starting new plays. Existing plays should monitor market direction and support levels for direction. We will let our profits run as long as this stock keeps good momentum as we approach the next earnings date of 4/20.



Picked on Feb 17th @ $96.13
Change since picked -3.32

 


VRSN - Verisign, Inc. $237.13 (+28.13)

VRSN is rockin' and rollin'. Friday, the stock closed on a new all-time high, after moving higher right at the open. The move is an expansion breakout from the consolidation area near $220. The catalyst for the move was a 'Strong Buy' reiteration from investment bank Thomas Weisel. We like the strong close and the heavy volume day, which leads us to think some carry-over buying is likely for Tuesday morning. VRSN is tracking nicely within an ascending channel that began February 1st. The stock is now near the top of that channel. Unless very strong follow-through buying develops Tuesday, resistance will form at the top of the channel, near $245 to $246. Initially though, first resistance is $240. We recommend new positions on a strong move through $240 or a bounce up from support, now at $230. If the stock moves below $230, we will think that this was a false breakout. Our position is relying upon momentum so be cognizant of market direction as well as the direction of the stock. VRSN has not issued the date of the next B of D meeting.



Picked on Feb 1st @ $169.44
Change since picked +67.69 

 


VSTR - VoiceStream Wireless $148.00 (+0.56)

VoiceStream Wireless provides personal communications services (PCS) to 676,000 subscribers in 11 US markets. The Company holds 107 broadband PCS licenses covering over 60 million people. They offer rate plans, prepaid services, wireless e-Mail, wireless data, and text messaging services. The stock was hit for a loss Friday, along with most of the stocks on the NASDAQ. It closed below its 10-dma on average volume. The stock continues to trade in a range of $145-$160. They will hold a special shareholder meeting on 2/24 where shareholders will vote on the proposed mergers with OmniPoint (OMPT) and Ariel Communications (AERL). They may announce a split after the meeting or they may decide to wait until their earnings announcement on 3/6, after the bell. Support is at $145, with stronger support at the 20-dma, now $139. Set stops under $139 for protection. Resistance is $160, just above its all-time high. Use a bounce off of $145 or a move above $160 on strong volume as possible entry points. Exit no later than Friday, 3/3.



Picked on Feb 15th @ $155.31
Change since picked -7.31

 

SPLIT RUN PLAY DROPS

DS - Dallas Semiconductor $70.00 (-2.50)

Despite Thursday's heavy trading volume, DS is still trending lower. We are discouraged that the stock has reversed after hitting resistance at $75. Friday, support at $70 was tested again for a third time. We are inclined to think that more downside is possible before the stock turns back up, so we are dropping this play for now. Long-term investors may be interested in hanging on to this one, as the stock is priced at an unusually low P/E ratio. The payable is set for 2/28, so if you continue to hold, a reversal to the upside is possible next week. For traders still holding, support is key at $70, next stop is light support at $69, then $65. Upside resistance remains at $75.



Picked on Jan 30th @ $66.75

Profit/Loss +3.25 (+5%)
Best Profit +8.88 (+13%)

 


MUSE - Micromuse $230.00 (+20.50)

We finally got a nice split run out of MUSE and now it is time to say goodbye to this very profitable play. A succession of new partnership announcements for its Netcool suite of software, coupled with the split being paid out on Tuesday has given us a very nice run in the share price of MUSE. As always, we are getting out of the stock prior to the payable date simply because we want to avoid the potential profit taking that may occur after the split on Tuesday. For those who wish to keep following MUSE, it would be tempting to take a position if the stock somehow managed to pull back to just above $200 where it has found a lot of recent support, but we caution that this would be a high risk move at this point in time.



Picked on Jan 30th @ $162.88

Profit/Loss = +67.13 (41%)
Best Profit = +80.25 (49%) 

 


SNDK - Sandisk Corp $145.63 (-3.44)

The payable date for this split was just too near Friday's market sell off. Profit taking set in and traders exited their positions early. As we said, Friday was the last day for our SNDK play and we hope you exited your play early with a good profit. In order for the stock to stay within its ascending channel, a close at or above $148 was necessary. Obviously, the trend has been broken. Signs of a breakdown are certainly evident now. It seems that more traders are catching on and following our advice by exiting the day BEFORE the payable date. We've noticed early weakness in these plays when the market is having a bad day, like it was Friday. We expect more profit taking Tuesday, as the stock trended lower all day Friday. Traders still holding should keep an eye on the $140 level, its your support. Upside resistance is $150.



Picked on Feb 3rd @ $135.06

Profit/Loss +10.57 (+8%)
Best Profit +24.44 (+18%)

 

SPLIT CANDIDATE PLAY DROPS

CLRN - Clarent $103.00 (-3.25)

Clarent did not announce a split and the stock was penalized for it. Investors are now exiting the stock as we are approaching their lock-up release. Tuesday, over 14 million shares come out of IPO lock-up. This could mean more rough times ahead for CLRN. They may announce the split in conjunction with the lock-up, which may keep the stock alive. A more likely scenario would be an announcement with the April earnings report, so we are dropping this play tonight. Set stops under $100 and look to exit on strength Tuesday.



Picked on Feb 10th @ $102.69

Profit/Loss = +0.31 (+0.5%)
Best Profit = +23.81 (+23%)

 


CREE - Cree Research $168.94 (+8.63)

After a three week run which saw the share price of CREE nearly double, profit takers pummeled the stock on Friday. Bulls make money, bears make money, but pigs get slaughtered as the old saying goes. So it's time to get out of this one. Hopefully, some of you have been utilizing trailing stops and thus avoided some of the selling and locked in some huge profits. If you are not already out, you may get a little bounce on Tuesday that you can utilize for a favorable exit point. With earnings not coming out until April 3rd, investors have plenty of time to re-enter this stock for an earnings run after the selling subsides.



Picked on Jan 13th @ $85.19

Profit/Loss  +83.75  (98%)
Best Profit +112.63 (132%)

 

 


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