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Technology Stocks : F5 Networks, Inc. (FFIV)
FFIV 238.28-0.8%Nov 26 3:59 PM EST

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To: James Calladine who wrote (730)4/1/2000 12:07:00 PM
From: Rarebird  Read Replies (2) of 1801
 
Good Post:

FFIV is a very young company that has been trading publicly for only 9 months. All of my fundamental research on FFIV says that this company is poised to grow dynamically in the future. Unfortunately, FFIV has not traded long enough to attract a solid core of long term investors. That will change as FFIV continues to produce outstanding results over time. For now, the momentum players and day traders are the major force behind this stock.

I've been investing and trading for 18 years. I have experienced just about every high and low that is possible in these financial markets. I have found that when a stock falls as dramatically as FFIV in such a short period of time, there are only 2 possible explanations: 1) There is some sort of bad news that is coming out that retail investors don't know about. 2) The sell off is purely irrational and has no basis in the fundamentals of the company.

FFIV is now in the quiet period. If there was going to be a preannouncement of an earnings shortfall or accounting irregularity, that would have come out already. I think this sell off is purely momentum driven. I'm not sure where FFIV will bottom. But I continue to think that the stock will easily hit new highs by the end of the year.

PS I have invested in a few companies over the years that have fallen 40%-50% in a short period of time. By dollar cost averaging into these great companies, they ended up becoming my biggest winners of all time. I only sell when the fundamentals turn sour. FFIV has a very bright future.
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