Oh good... Now at least Dipy has someone who seems to have the same skeptical views as he does!
John, you say:
> but LSI is not worth $27, Xilinx not worth $41, Altera not worth
> $38, Texas Inst not worth $57, Intel not worth $88 and Micron
> certainly not worth $38. These stocks need about a 20% pull back to
> even begin to look reasonably priced. Momentum investors are always
> jumping on to these stocks and then just as quickly jumping off.
You may very well be right! But you know what, thats how it is, and thats what the game is all about! LSI may not be worth $27, but currently it is at $27 and who knows maybe next week it will be at $40! At this time there are people out there that think LSI is at least $27/shr and are willing to pay cash for it hoping someone else will buy the shares from them for $40 or more!
The point is those who just sit on the side line and complain that LSI is not worth $27 (or for that matter any other stock is not worth paying for it) are simply naggers. If tomorrow LSI drops to $20/shr I can almost guarantee that you will most likely not buy either and compalin that LSI is not worth $20 either and should drop another 20%, and if it drops by another 20% you most likely say again the same thing, etc. Its like my uncle! He never invests in stocks and always tells me if for example SUNW drops to $31/shr then he buys. Back in Otober when SUNW dropped to $31 he said SUNW is not worth $31 and if it drops to $20 he buys! And the same goes with practically every stock... Well... too bad!
The point is to make money, you have to participate and believe in the investment you are making. Who knows tomorrow LSI may very well come down to $1/shr! But will you then buy?! Or would you continue saying heck, LSI is not even worth $1/shr! And if you think LSI is not worth $27/shr and should come down at least 20%, then why not go ahead and short it?! Keep in mind bulls make money, bears make money, and the rest are simply either viewers or naggers!
Regards,
Addi Jamshidi |
