William,
<<you don't see HP or others going after that market too?>>
I certainly wouldn't underestimate HP, but I see them focusing on the mass end-user market. Others on this thread, however, know this industry better than I.
<<What kind of time frame are you looking at?>>
Ideally, I would like never to sell (Like Warren Buffett <G>). Realistically, I aim to hang on while the company gets discovered, like Encad did, and gets rewarded for their ability to deliver outstanding products and great earnings growth. Perhaps 2 to 5 years.
<<I'm thinking the best long term investements that you don't already have are best left to be made after the Big One>>
Well, yes, corrections are inevitible and healthy. Some are rolling type, from overvalued sector to undervalued sector. I try to anticipate these by adhering to rigid valuation discipline. Others are Big Kahuna corrections, like we got 10 years ago. They are often proceded by great volatility. As long as economic conditions remain intact, they certainly present great opportunities. Some say the big caps will get beat up worse than small caps when it comes, because of the relative overvaluation of the big caps. Yet there is always a flight to perceived safety of names like KO and PG and even cheap small caps often get to rediculous levels when MMs are distressed, as happened in '87. We shall see. Not a bad idea to keep some dry powder, but keep the emotions in check and maintain a disciplined and rational approach.
Regards,
SC |
