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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 174.01-0.3%Nov 14 9:30 AM EST

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To: jmac who wrote (65729)2/1/2000 5:36:00 PM
From: DWB  Read Replies (2) of 152472
 
Which leads me to something I've been thinking about since I learned of the China news.

Say you are Dr. Jacobs. The Company stock is getting a bit extended, and you are about to announce earnings. You KNOW the China contract is just about to become a done deal, and you KNOW what effect that will have on the stock. Is it best for you to:

A) Announce the earnings, don't say anything bad, and let the stock price get severely overextended once the China news hits the press, with a much higher chance at a future crash.

B) Announce the earnings, downplay the proforma numbers of $0.27, slip in a "slowdown" reference so all the nattering naybobs of negativism will let some of the air out of the stock, and then announce the China deal, getting you back to even.

Let's all use our heads for a second. Does anyone think Dr. J didn't know the China deal was about to become news? Then in my mind, it's entirely logical that they planted the "slowdown" to keep the stock from getting too speculative.

DWB
Q2.5K/Y2K+5
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