Novell (NOVL) dirt cheap, good buy? Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Novell (NOVL) dirt cheap, good buy?

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Captain Jack who wrote (32050)	5/28/2000 3:30:00 PM
From: PJ Strifas	Read Replies (1) of 42771

IMHO this entire run up in the Nasdaq fueled by the "dot.coms" and the tech sector was just as Mr Greenspan called it - irrational exuberance. People were wild-eyed and eager to plunk down $$ on the next MSFT/CSCO/INTC. I wish I was more versed in financial technicals to really compare it to the '80's junk bond craze with some coherent essay but alas I am merely a geek-head :) I was always amazed at how easily people were drawn into this wild run up (myself not excluded!). But I also realize that the very companies people were hitching their wagons onto were grossly overvalued (most without REVENUES!). So I bought and sold at pre-determined valuations. Sure I could have made more $$ in retrospect but I also saved some $$ not holding some stocks to eek out another $2-3 or waiting for the next $10+ run up. The current state of the internet economy is driven in large part by marketing and advertising (eyeballs as they call it right?). What happens when the first real recession hits this economy and the first casualities are the advertising budgets of many of these start-ups? Many sites are hoping that by then they will have revenues from product sales or services but will they? People are buying MSFT based on it's phenomenal track record these past 3-4 years. They expect them to continue or bounce back. Why not right? They have beat the government before and scored on quarterly revenues nearly every turn and there is nothing that can seemingly stop this jaggernaut. They said the same thing about IBM and a host of others who dominated in their time. Even Rome fell :) Novell on the other hand has a more difficult path - one it needs to "hack out of the jungle". One that has no glorious history so people will not be keen to accept much on faith. Novell is now a "show-me" company - the market will respond with positive showings in earnings and sustained revenue growth. As Novell releases more and more NDS-related products, they will be positioning themselves strategicly as a company that no longer sells a NOS but a company that creates solutions. For those who are willing (like me) to maintain a long term view on this stock (and their technology), the opportinuty for reward is worth the value I currently have in my shares of Novell. Besides I would not be able to live with myself reading news about Novell and the stock price hovering 10-15x it's current value because they finally got their act together and I held no shares. For me, this is my dark horse - the diversity of holdings I have can afford me this at this time :) Although not buying back in at $19 would have afforded me some neat toys this year....... Regards, Peter J Strifas

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next