Trend Micro Incorporated develops, markets and supports antivirus software and management solutions for enterprise-wide computer systems and personal computers, delivering virus protection at each access point within the corporate network. For the FY ended 12/31/00, net sales rose 59% to Y21.83B. Net income rose 91% to Y4.72B. Results reflect increased demand for security products, partially offset by increased losses on securities.

March 22, 2001

The technology stock recovery that we saw today was not solely reserved for the big names. Trend Micro, which is in the anti-virus solutions business, has seen a nice percentage gain this week. It is interesting to note that, despite its single digit share price, TMIC may be on the verge of a split run. The company announced a 2:1 split back in February that will be made payable on May 18th. A more immediate help to the stock has probably been a couple of good news items concerning TMIC this week. On Wednesday, this Japanese company announced the opening of a new call center in Fort Worth, TX that should help TMIC to expand its American business. Technically speaking, we anticipate possible entry points if TMIC can cross above its 50-DMA of $8.75 tomorrow. We would also like to see this move accompanied by volume of over 20,000 shares by midday. Another positive development is the fact that the MACD turned positive today. TMIC is a somewhat speculative play and is probably not for all of our subscribers. That said, we are impressed with the stock's ability to post a positive week in the face of so much broad market selling.

Picked on March 22nd @ $8.38
Change since picked +0.00
Stop Loss @ $7.00