TIP: Click on subject to list as thread! ANSI
echo: aust_biz
to: George Ashton
from: Lindsay McKeon
date: 1995-11-28 09:55:24
subject: Multistack

GA> "mismanagement" are the cause of the price drop.
 
 LM> Really?  Did he give any examples?  As yet I haven't taken the
 
 GA> No, just that.
 
Hmm..  perhaps I'm being cynical but I wonder if he didn't just
say that to cover the fact that he'd never heard of the company.
Unless a company is in the top 100, has just been in the news, or
has been researched by his company, this is sometimes the case.
 
On November 17 MSI released the Chairman's address on Signal G,
saying that due to tight conditions in China the company would have
trouble maintaining the same RATE of profits in the coming year.
 
I'm not sure if this invalidates my speculations or not.  Does rate
refer to absolute earnings, or to earnings per month or profit 
margins?
 
Either way, I suspect this was the immediate cause of the price dip.
 
Multistack is perceived as a "china" company due to its manufacturing
and joint ventures in China.  This _may_ partially account for its
general cheapness ... or your broker may be right and it's a piece
of s##t. I guess only time will tell.
 
LM.

--- Maximus/2 3.00
* Origin: Soft-Tech, Qld, Australia +61-7-3869-2666 (3:640/201)
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