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Technology Stocks : Cymer (CYMI)

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To: Darryl Olson who wrote (9470)11/13/1997 8:58:00 PM
From: Mason Barge  Read Replies (1) of 25960
 
<<Let's just hope it's not a "dead cat bounce.>>

Nah, not a chance. It found some support at a level relative to the industry and came up with the rest of them. Cymer's got some legs midterm and even the hottest short knows it. This just isn't an industry or a company in big permanent trouble. Valuation is more a question of how fast the product finds an end user, not whether the market is there.

If you want to test Cymer's relative strength on a day to day basis, keep an average in the industry, or pick out a strong volatile player, maybe an automation stock like PRIA or ASYT. It may seem odd that Cymer is even more volatile than the DUV stepper stocks, but they all have other businesses, while Cymer's near-term earnings are pretty much a pure play on DUV litho installation.
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