GM,
Thanks.
I copied some sections and my opinions below.
<<In the real world, it is impossible to predict the
future. Why should anyone take seriously a
security analyst's estimates of what a business will
earn in 1999?>>
I've seen a lot of post making a big deal for J. Morgan not
beeing able to forecast beyond 2nd quarter of 1998.
<<Learn the lingo. That is, understand a brokerage
firm analyst's rating system. Since "sell" is a
four-letter word on The Street, it's crucial to read
between the lines. At BT Alex. Brown, say
sources, when a company goes from a "strong
buy" to a "buy," it's basically a sell.>>
The way I see if, if the analyst recommends a buy, don't wait too long, SELL pretty soon. On the contrary when they issue sell or stay away from AMAT, that means accumulate NOW. A perfect example were the oil drillers. 3-4 weeks ago, every analysts guess in CNBC recommends the oil drillers. That was a perfect signal to sell. Sure enough, the oil drillers were hammered.
What are the analysts recommending now. STAY AWAY from tech stocks, buy retailers, drugs, utilities. The way I read it, accumulate tech stock now. Look at these bargains, AMAT, KLIC.
Folks the race to 300mm is ON. IBM announcement, then MOT yesterday.
Roly |
