| Globecomm Systems Flies Too Far Too Fast |  |
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| Monday, 12 November 2007 | |
Globecomm Systems Jumps Up Over $3 In Monday Trading(NAMC) – On Monday the satellite infrastructure solutions company, Globecomm Systems (NASDAQ:GCOM) was awarded a $9.9 million contract with the U.S. Army’s Communications division. But the hopes during Monday’s trading session got very high, maybe too high, when the potential contract value for Globecomm was estimated to be in the vacinity of $87 million. Now there is no guarantee that the contract value would get that high, but the ripple hit investors, not so much institutional investors, but individual investors, which pushed the stock up far enough to close at $15.31 up $3.05 on over 1.1 million shares traded. Of course this contract is going to help the company’s earnings but it just looks as though the stock may have jumped up too far on this news and anticipated revenue flow. Investors should look out for a possible pullback as the true value is actually realized and the hype dissipates. Louis Victor NAMC Newswire Note: NAMC Worldwide provides Investment Banking consulting services to both publicly traded and privately held companies, everything from capital raising to mergers and acquisitions. Other areas of focus are Private Equity Capital Raising and Private Commodity Transactions. This article can be republished either online or in print as long as credit is given to the author and the NAMC Newswire.
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