SplitTrader.com Announces Investment Opinion on Research Engineers, Inc.Business Editors NOTE TO EDITORS: The following is an investment opinion issued by SplitTrader.com. LITTLETON, Colo.--(BUSINESS WIRE)--Jan. 21, 2000 Engineering Company to Issue Stock Dividend to Shareholders Research Engineers, Inc. (Nasdaq:RENG) came out early this morning to announce that its Board of Directors had approved a 2:1 stock split of its outstanding common shares. The record date for the split is Monday, January 31, 2000. The Company's transfer agent will distribute the additional shares on Monday, February 7, 2000. Research Engineers is a Yorba Linda Yorba Linda (yôr`bə lĭn`də), city (1990 pop. 52,422), Orange co., S Calif., in a region of citrus fruit; inc. 1967. The city has grown tremendously along with the southern California area; its population increased fivefold between , Calif.-based software company. They design software solutions for use in design automation and analysis. In addition, the Company develops software for use in information technology services as well as Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the and e-commerce e-commerce, commerce conducted over the Internet, most often via the World Wide Web. E-commerce can apply to purchases made through the Web or to business-to-business activities such as inventory transfers. solutions. They have offices and/or distributors in over 40 countries, having provided their products to over 140 thousand customers in over 65 countries. The Company first went public in July of '96 at $5 per share. They currently have approximately 5.9 million shares outstanding, with 20 million shares authorized Shares authorized The maximum number of shares of stock of a company allowed in the articles of incorporation, which may be changed only by a shareholder vote. See: Issued and outstanding. shares authorized See authorized capital stock. . Of the shares issued and outstanding, approximately half are owned by insiders, with the rest (3 million) available in the float. Today's announcement marks the first split of the Company's shares. Shares of RENG have seen a dramatic rise in the last 2 months. Prior to mid-November, the stock had been unable to break above $10 since its inception. Since the November breakout, the stock has increased over five-fold to a current price of $57.38. The 52-week range for the stock is $2.56-$59. This price increase is, in part, due to the limited trading float. Despite the recent run-up and the attractiveness of a limited trading float to momentum investors, we are hesitant hes·i·tant adj. Inclined or tending to hesitate. hes  i·tant·ly adv. to add the stock to our Recommended Split List due to the lack of liquidity, as the average daily trading volume Trading volumeThe number of shares transacted every day. As there is a seller for every buyer, one can think of the trading volume as half of the number of shares transacted. That is, if A sells 100 shares to B, the volume is 100 shares. for the stock is less than 40 thousand shares. We will continue to monitor the stock to determine if a favorable fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. situation occurs that would warrant taking a position in shares of RENG. Visit http://www.SplitTrader.com later today for a detailed profile on RENG. About www.SplitTrader.com, the FREE Website for Stock Split Traders Traders Individuals who take positions in securities and their derivatives with the objective of making profits. Traders can make markets by trading the flow. When they do this, their objective is to earn the bid/ask spread. www.SplitTrader.com (ST) specializes in showing investors how to properly trade stock splits and is the leading website for identifying new split candidates. ST offers daily market commentary, thorough analysis, and market-beating performance in its stock recommendations. ST offers a complete sector watch, insightful editorials, email split notifications, a complete split calendar, and a host of focused chatrooms and message boards. Visit http://www.SplitTrader.com and sign up for their FREE membership. |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion