After seeing 25k block within ten minutes of
close, and the ensuing argument over whether it was a
buy or a sell, I decided to call someone I know in
His take is that a 25k block of
this stock was almost certainly accumulation. He told
me that it is likely the trade was out of sequence
by at least a few minutes, and probably timed to go
through at the busiest part of the day to minimize
visibility. He also said that it is not likely mm
transaction. If the price shows strength today he believes we
may see another such block this afternoon.
also asked for my dd sheet.
If there was an SEC inquiry, the company would be
make a public announcement
There is no inquiry.
It is sad the lengths that
some people go to try to do damage
Proper research would alert you to the fact that Custom
is associated with an unusually impressive list of
and Cook and his board of directors are all
of the highest quality in their business dealings.
Nobody outside of the company truly knows what is going
on, but from our knowledge of the players, the
investment in their new
very high-tech facility, and some
of their public statements, one can assume that they
indeed believe that what they have will be highly
We believe that the stock will trend higher, however
we would not like to see the uncontrollabe action of
about 10 days ago.
Someone asked for a list of MMs on CUST. Here's
Also, investors should realize that Margin exists
because it is profitable for the brokerages. While some
people are able to double their profits with margin, the
average investor, like the average day trader, loses
money when on margin. Generally, I'd say that margin is
for the educated and for people with IQs ranging 130
and up. Even then, margin buying is potentially
My personal disclosure is that I bought AOL 2 splits
ago fully margined. For that reason my return on
capital has been about 400% in AOL. Oh the toys I bought
. . .
Previous poster asked questions on how can you
find out if a SEC investigation is underway. Like does
the compnay have to report to the public on an SEC
I am curious too. Anyone know? Can a
company be under investigation and the shareholders be
allowed to be kept in the dark?
am getting worried. Averaging up may havve been a
mistake (although CUST did act well in the face on a
NASDAQ sell off). This investment is the most
emotionally wrenching one I have.
At least I am not on
To: sargent (717 )
From: Rajiv Thursday, Jun
10 1999 7:42AM ET
Reply # of 732
you know that the technology CUST is developing
hasn't been in the works for much longer than everyone
thinks and, recently, after realizing that they had
something great with their transaction technology, coupled
with the fact the music portion of their business did
not hold as much potential as this transaction
technology, they decided to scrap everything to focus on this
new breakthrough product?
CUST took over a
small start-up company (owned by David Cook) which was
working on the customized CD stuff. This company was not
working on the internet trust/DSS stuff as once the
internet music project was dropped, payments to David Cook
for the purchase of the company were also stopped.
This is a clear indication that this company's
technology and patent was no longer of monetary
significance. Otherwise David Cook would have insisted on the
remaining payments. The title of the patent was also
transferred back to Cook - another sign that the tech was no
longer useful. CUST has only retained a license just in
case they re-incarnate themselves back to the
internet- music business
If CUST would have been
working on the internet secure transcations and the DSS
stuff from before, evidence would have shown up in the
10-Qs. You draw a blank on examining the P/l statements,
cash flow, balance sheet, etc.
They did not
start working on this project before the start of the
year. And till March end, they spent around (probably
less) 2 MM. The net value of their property and
equipment (as of March 31) is around 1
This may sound scary, but compare BBU3 to
He's got this gift (advice) that's free. He's doing it
for our good and all he needs is for you to receive
this gift. He's not begging us or condemning us . .
Just a thought before dinner . . .
As for the
longs, as soon as this quarter finishes, I'm going to
take a good long look into the companies I own stock
in. I'll post my findings on CUST and we can then
decide whether to hold long or jump