What makes you guys think tech is going to take off? I have the opposite feeling, we've been in the Pause Market for all of 2005 as tech stocks try to figure out the next direction, and my current thoughts are that the next direction is down.
The main trends of 2005 has been virtually all of the large tech blue chips lowering forward revenue expectations modestly. IBM, CSCO, LXK, DELL, HPQ, NTAP have all missed or lowered forward revenue guidance this year, and I'm hard pressed to think of many that beat and raised significantly. Of the main sectors of tech (PCs, servers, storage, printers, etc.) only cell phones remain in the sweet spot of growth through product cycles and innovation. GOOG and YHOO may be doing fine, but they aren't really "tech" per se, they are more like media/service provider companies.
It's not a strong view, but I think tech stocks head down from here - hard for stocks to go up against the backdrop of decelerating growth. Other than OVTI that is.... |
