Russ, I fear we are still in the part of the tech stock and general market bubble where even the worst general news, such as the earnings are phony, does not impact the cos. that can still show those sharp-penciled earnings are growing. My guess is that most bulls will not read the article and those that do will give it no credence.
I think that MSFT is way overpriced, but they have an out for even a bad eps report next quarter. They can blame it on the anti-trust investigation slowing Win 98 introduction. So, though I own some MSFT puts here, they are more of an insurance policy than a rational investment. I think the stock will fall rapidly once it starts and I want to be there when that happens. But I don't have a lot of confidence it will happen any time soon.
As CNBS will tell you, "hey, dude, all this accounting stuff is part of making the quarter and the cos. deserve kudos for being innovative in that area. Kawabunga, surfs up!" At least, that is what Kernan said when IBM's last disaster was blessed as a "good quarter." -g-
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