Formerly About Applied Materials Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Formerly About Applied Materials

AMAT 226.05

+1.3%

Nov 14 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Tito L. Nisperos Jr. who wrote (27723)	1/15/1999 5:50:00 PM
From: Justa Werkenstiff	Read Replies (3) of 70976

Tito: Yeah, these stair guys have done a great job building an rocket ship and not a staircase. This latest run from early January in this sector looks like a liquidity pop in the most liquid stocks in this sector. NVLS, TER, AMAT are near or beyond their all time highs without booking one sequential quarter of earnings growth. KLAC is making a move as well. The small stocks in this sector are still close to all time lows. There has never been such a divergence in this sector that I can remember. Look back to the 1997 run. Small caps went up in lock step with the larger caps. Not this time around. So either the small caps catch up or the fat boys fall more on a percentage basis. I note with interest that AMD has reduced capital equipment spending plans from 1998 to 1999 from $1b to 900m. Dallas Semiconductor noted today that it depends to reduce capex from $75m to $50-$55m year over year and sees no capex invesments in Japan in a recent tour. We all know about INTC. There is no historical justification for the latest rise in these large cap semi-equipment stocks. They have entered the realm of the internuts. The risk/reward analysis points to the risk side without question. I am out of all these large cap semi equips as of today. What a nice boatload of money for a three month sector recovery without any huge improvement in fundamentals. Can these go higher? Sure. There are always greater fools out there especially in this market. Anybody buying these large cap semis recently for anything but a day trade or so? I doubt it.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next