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Technology Stocks : Texas Instruments - Good buy now or should we wait?
TXN 196.62+1.7%3:59 PM EST

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To: hdl who wrote (5495)2/25/2001 1:08:55 PM
From: John Chen  Read Replies (1) of 6180
 
hdl,re:"why...". 'In sympathy with the telecom industry'.

One thing that worry me about TXN and the semiconductor
industry is that: in the 'Bad days' of this industry,
the average PE is high-single digit to < 12.

With the 'money grow' or 'inflation' over the years and
the new applications of the 'digital world', I would
give the industry a '12 to 18' as the average PE of this
industry this time (down turn) around.

Quick check with Yahoo on 'INTC, LSI ADI MU TXN AMAT',
well, other than being chicken or greedy (waiting for much
better return), I can't see this group goes down that
much more.

If you are a buyer of this industry(stock), you can
o be reasonably rewarded if you buy now.
o be handsomely rewarded if you wait and lucky enough to
catch the bottom.
o be 'new-economy style' rewarded if you are so smart and
wait for the PE at 10.

Must be getting old, I'm giving more specific on my
opinion even though not knowing what I'm doing other than
historical perspective and common sense. Please take it
as gossip or tea talk.

Good luck.
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