The Play Of The Day
Feb. 1, 2000
08:47 AM EST.
Today's Play of The Day is: Peoplesoft (NASDAQ:PSFT)
PeopleSoft (NASDAQ:PSFT) is a world leader in enterprise application software. PeopleSoft provides eBusiness applications for customer relationship management, human resource management, financials, and supply chain, along with a range of industry-specific solutions. For more than 4,000 customers, PeopleSoft applications offer greater flexibility, rapid implementation, scalability across multiple databases and operating systems, and lower cost of ownership.
The stock had good reason to close at its high of the day at $22.50 yesterday. it is scheduled to report earnings following today's close. It should continue its run today after it falls back to the 21.75 area. It then should gather from there and by the last hour of today's market trading it should near 25.00 a share. It has resistance above 25.00 in its 30 day trading chart. The biggest key to watch on this one today as it should run right into the close is added volume. It normally trades just over 5.3 million shares. It could add on more then 6.5 million today. If it does it should signal that earnings will be good.
KEY INDICATORS: PSFT
Time Frame: today
Type of Trade: daytrade - sell on close.
BONUS PLAY #1 Wit Capital Group, Inc. (NASDAQNM:WITC)
Wit Capital Group, Inc. is an Internet investment banking and brokerage firm that uses electronic mail and the Web to offer and sell shares in public offerings to individuals. WITC also produces and disseminates investment research. For the nine months ended 9/30/99, total revenues totaled $27.6 million, up from $1.3 million
``With this merger we have created a company which will be considered a powerhouse in the Internet and technology space,'' said Ron Readmond, co-CEO of Wit Capital. ``By combining our industry knowledge with our innovative capital raising ideas, we are able to connect investors and issuers into a more meaningful and long-lasting relationship. Our financial performance to date has proven the viability of our model. We have increased our revenues from $2 million in 1998 to $49 million in 1999, and now expect to surpass $200 million in 2000.
It, is time! Buy on the dip after the morning gap up.
Key Indicators: WITC
Buy Area:$13.00 to $13.50
TARGET:$14.85 to $15.525
Time Frame: 2 to 4 days
Type of Trade: Swing Trade
BONUS PLAY #2 Rhythms NetConnections, Inc. (NASDAQNM:RTHM)
Rhythms NetConnections, Inc. is a service provider of high-speed local access networking solutions, using DSL technology, to businesses. The Company's network provides customers a high-speed local connection that is always accessible to the Internet and to private local and wide area networks. Through the Company's packet-based network, multiple users on a single connection are able to simultaneously access the Internet and private networks. Beyond high-speed access, the Company offers a growing suite of features and applications that can be individually configured to each user's needs, including a full service solution for the configuration, provisioning, and installation of the local access connection at the end user location.
Stock Fans, broadband is back!!! Rhythms NetConnections, Inc indicators say it is time to buy. Today's hot IPO, Turnstone Systems (Nasdaq:TSTN ) puts the spotlight back on something we all want, faster internet connections! Rhythms NetConnections is a direct competitor of Turnstone. I expect the sector to heat up and take front stage as the place to be in the 00's!
Key Indicators: RTHM
Buy Area:$33.50 to $34.25
TARGET:$37.67 to $39.38
Time Frame: 2 to 5 days
Type of Trade: Swing Trade
HOT IPO TO WATCH TODAY: IMPSAT FIBER NETWORKS (NASDAQ:IMPT)
(NASDAQ:IMPT),a leading provider of private telecommunications network and Internet services in Latin America. It offers tailor-made, integrated data, voice and Internet solutions, with an increasing emphasis on broadband transmission, for national and multinational companies, financial institutions, governmental agencies and other business customers. The company also offer dedicated Internet services to Internet service and content providers. (NASDAQ:IMPT) has operations in Argentina, Colombia, Venezuela, Ecuador, Mexico, Brazil and the United States and also provides services in other countries in Latin America. (NASDAQ:IMPT) currently provides telecommunications and Internet services through its networks, which consist of owned fiber optic and wireless links, teleports, earth stations and leased fiber optic and satellite links. It owns and operates 12 metropolitan area networks in some of the largest cities in Latin America, including Buenos Aires, Bogota, Caracas and Sao Paulo. The company is building an extensive pan-Latin American broadband fiber optic network, which will enhance the services it presently provides and significantly increase its transmission speed and capacity.
Stock Fans! I remember the end of May 1999 when a stock called Star Media (NASDAQ:STRM) came to market. It was underwritten at a similar price point of 17.00 a share like (NASDAQ:IMPT) will be today. Last May (NASDAQ:STRM) opened at $28.00 or so and with in a 3 day time frame ahead of Memorial Day it would go all the way to $66.00. (NASDAQ:STRM) was so hot because it was considered to be the Latin American AOL. I remember a friend said. "If STRM is this hot then I can only imagine what a DSL provider in such a hot bed of technology, Latin America would trade at?"
Well, Stock Fans we get our chance today to find out. I for one think that with such stock like TRRA, and STRM , and the 6 split South American Telephone companies. This offering today could open somewhat lack luster like STRM did about 9 months ago. IMPT should open near 40.00 - 50.00 today then it shouldn't take long for this Latin American DSL powerhouse that has ZERO competition and makes money to find its way to the high 70's 80's before it is 3 days old.
STOCK TO WATCH TODAY: Photon Dynamics (NASDAQ:PHTN)
Photon Dynamics is a leading worldwide supplier of yield management solutions to the flat panel display, printed circuit board assembly and advanced semiconductor packaging industries. Founded in 1986, the Company currently has approximately 160 employees with subsidiaries in Japan and Korea and sales offices in Korea, San Jose, CA and Aliso Viejo, CA. The Company has been issued 35 U.S. patents for flat panel display test and inspection technologies and has 7 U.S. and foreign patent applications pending. For more information about Photon Dynamics, please visit the company's web site at http://www.photondynamics.com
Stock Fans, as I often do I checked to see what stock would be featured on CNBCs Power Lunch today. I was amazed not to see today's featured stock being (NASDAQ:PHTN). Instead to see the total amount of outstanding shares. Its an extremely small amount of only 7,814,000 shares. That's not the float folks! That's the total amount of shares including insiders. This stock has less then 1.3 million shares in its float. If it gets the notice like all the other stocks that CNBC has on Power lunch it could really fly. The key on this one is to get in early. Then sell it ahead of CNBC's profile. If CNBC's interview of the CEO is seen as negative in anyway this stock could drop like a rock. However ahead of CNBC this stock should add on 6 plus today as CNBC mentions it being on Power Lunch throughout the morning today.
KEY INDICATORS: PHTN
Buy Area: $57.00-$58.00 (Off the open)
Sell Stop: $54.75
Time Frame: today
Type of Trade: daytrade
SECTOR TO BEGIN TO ACCUMULATE: HD TV- Digital TV Related Stocks.
Many people ask me. "What is the next sector to run?" Well, Stock Fans, I like the HD TV (Digital TV) stocks to begin a run starting perhaps as soon as the end of February 2000. I will be highlighting more names and symbols soon, but here our the stock I think or worthy of accumulating over the next 3 weeks.
TIVO, SFA, OPTV, IATV, AOL , TWX, TCLN.
STOCKS ON OUR SCREENS TODAY:
AOL - It tested $55.00 and it passed with flying colors. Look for upgrades soon as it should begin to move higher. AOL will trade sideways 59-66. 66 is break out. Feb 65 Call Option look like a good call today.
XYBR- closed at its high of the day. We will look for $13.50 as resistance today.
STRM- It heating up again
WCAP- It right on resistence. If it clears $32.00. Next stop is $39.00.
NXCD- Closed at its high of the day. it may make 40 its own today.
EXPE- Lost 10 cents less then it should have.
AMZN- It sure seems to be a short candiate today. I can't see it satifiying the Street today on numbers. We know it won't lose less then it should!
MADGF- May move higher volume is key.
VISX- More problems today.
CMTN - Earnings today
IIXL- Earnings today.
DSLN- Earnings today.
NTOP- Nice move yesterday. It may follow thruogh today.
PLUG- ENE is helping it
MKTY- It owns a lot of PLUG
BLDP- Time for it to move again
EFCX- It ran huge on close yesterday. It could add on more today.
IDC- It may see $33.00 today.
HHGP- Watch for my Long Term profile on this one coming soon! It could be the next ICGE!
Have a great day!
More to come....
and BigPlayStocks.com Team of Pro Traders.