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Technology Stocks : DIGL... Digital Lightwave.... Making Waves....

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To: squirrel who wrote (262)1/22/1998 2:47:00 AM
From: ahhaha  Read Replies (2) of 934
 
The idea of "cute" is to introduce a little levity here, but it also is to convey that numerical evaluations imply a stability of return that just isn't possible. You buy this company for intangible reasons, that is, numerically intangible. You can say that they are in a position to prosper if..., but you can't put a multiple on it that is realistic. Thus the stock is very volatile to reflect the high degree of uncertainty. Usually you just buy and hold and hope for the best. If the market in fiber grows like it has, the rising tide will raise this boat. You won't have to bail unless you go short. Hey, I'm bearish on big visible earnings growth tech companies, but I'm not bearish on DIGL. Can it go lower? Certainly!
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