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Politics : Formerly About Advanced Micro Devices

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To: Jim McMannis who wrote (115250)6/10/2000 12:32:00 AM
From: minnow68  Read Replies (1) of 1571394
 
Jim,

I'm in niceguy's position. I see stocks that I believe are undervalued. I see stocks that can do very well. BUT...

1) AMD seems more undervalued, relative to its performance and peers, than any other stock I see.

2) AMD seems to _still_ have more potential than most stocks I see. For example, why should I buy a stock that I think might go up 50% by year end when I believe AMD has a real shot at $300 a share?

3) The few stocks that I know of that have a chance of outperforming AMD are turn around cases where there are serious risks. For example, the risk of AMD going bankrupt by years end seems quite remote to me. I suppose an asteroid wiping out Austin could do it.

As for what niceguy said about what sets these things up, I agree completely. The thing that creates the explosion in price in a short period of time is the company not performing for a long period of time. So to find the next "once in a lifetime", we need to explore the ranks of seriously underperforming companies.

Now if one of us could only find the next diamond in the rough...

Mike
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