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Technology Stocks : How high will Microsoft fly?
MSFT 486.83-1.1%Dec 1 3:59 PM EST

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To: johnd who wrote (50400)10/2/2000 2:31:04 PM
From: Dan Spillane  Read Replies (2) of 74651
 
Check you charts. Was October 1998 a good time to buy Nasdaq stocks?

Hmmm...no one talks about the 60 percent plus growth of PC laptops. As well, everyone ignores the fact that demand is growing so much, there are component shortages. As well, everyone is ignoring positive statements by major companies.

The last bear market of October 1998 had exactly this negative sentiment in the face of good news, though much more real cause for worry (an international financial crisis). Now we have an Intel inventory overhang, competition from Transmeta, and poor Apple sales. None of these seem like macro factors, and certainly seem positive for Microsoft.

Compare the vlauation of Microsoft to GE or Proctor and Gamble, and consider Microsoft has the power to start new momentum with new products whereas GE or Proctor have far less power to do do.
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