>>Currently holding long INTC, DELL. Might want to have 3 of those horsemen which would mean CSCO. I'm a bit hesitant on MSFT because of it's pending legal issues.
John, imho csco, msft or more dell would all be good additions to your portfolio. In the short term, I am convinced that dell has the most upside potential; in fact, I think it's a volcano just a few weeks away from erupting. For the longer term, csco and msft are great plays, and you could use your ignore & hold strategy very well with them <g>. The current doj problems at Microsoft could actually work to your advantage. A number of us msft longs have the feeling that the liability is already reflected in the stock's price, and that it will jump 20 to 30 points as soon as the suit is resolved - regardless of the verdict.
The problem with all of the Gorillas and Kings is their current high price (with the exception of dell which has been lagging for a variety of reasons that will soon be revealed as trivial). Paraphrasing the words of one SI poster, the game is no longer buy low sell high, it's buy high sell higher. I was concerned with the high evaluation of Microsoft in mid '96 and tried to wait for a dip, which never came, to make my entry. Finally bought at 101 presplit in January '97 and have never regretted it.
I strongly believe that this quarter will see the best appreciation by tech stocks in the last 3 years. You are extremely well positioned with intc, which will post an incredible quarter on Tuesday, and dell, who will do the same on 2/17. Compliments on your stock picking acumen.
Frank |
