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Technology Stocks : LSI Corporation

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To: Ram Seetharaman who wrote (19659)8/10/1999 2:51:00 PM
From: sea_biscuit  Read Replies (2) of 25814
 

I rather like Jock's idea of following the analysts' upgrades/downgrades. If you buy after the second upgrade and sell after the second downgrade (you should exclude downgrades that are merely based on stock price), you will do pretty well. The reason for choosing the second upgrade/downgrade instead of the first one, is to ensure that you don't follow some maverick and later find that nobody else chose to join him! Except you, that is! <G>

In 1995, somebody from Soundview downgraded the stock when it was at 58 or so. Close enough to the peak of 62 1/2, huh? This was followed by a series of downgrades (analysts are like lemmings). From there, it was downhill all the way and before long, we saw the stock lose nearly 60%.
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