Barrons mentions QCOM (very bullish) ! (But NOT by Barrons "reporters," of course, but in an interview with someone whose comments sound similar to Gregg Powers' point of view).
Q: It's time to pick stocks.
A: I have owned Qualcomm for over three years. When I bought it, people said
their CDMA technology for cellular phones didn't work. We checked out CDMA,
which stands for code division multiple access, and it works. So well, in fact, that
on March 25, Qualcomm settled a longrunning patent dispute with Ericsson,
which wanted to make GSM the global standard and didn't want to pay large
royalties to Qualcomm. Now they and everyone else will.
CDMA technology has become the world standard for cellular phones. It will be in
all handsets, and in wireless local loops, which are local phone systems without
wirelines. Cellular telephony still has vast potential. Soon e-mail will be available on
cell phones. You'll also be able to surf the Internet on one. People will want Web
appliances in their cars.
Q: What's so good about CDMA?
A: It allows a lot of cell phones to operate in the same place at the same time
without interference. It provides more capacity per cellular system. This is
especially critical in transmitting wireless data.
Q: Qualcomm soared to $155 a share recently, from $87 on March 24, then eased.
How much more is there to go for?
A: Three weeks ago, its market cap was $7 billion, up from $4 billion a few
months ago. Earnings should grow very strongly for many years. Qualcomm in
time could become a big-cap, which I define as $100 billion. It has massive upside
potential. It would be crazy to sell it now.
Q: Next?
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Here is some info. on the guy being interviewed (from the beginning of the article) :
April 12, 1999
Toward 30,000 in 2010
A decade ago, he forecast 10,000 in '99; he's still bullish
By Peter C. Du Bois
An Interview With Frank Jennings ~ A long-term investor in an increasingly
short-term world, Jennings took over the $480 million Oppenheimer Global
Growth & Income fund in October 1995, and has steered it to the best five-year
record in its Lipper Analytical category, which is global flexible. In December
1989, he correctly predicted that the Dow Jones Industrial Average would hit
10,000 in 1999. Now, for a variety of reasons, he sees the DJIA reaching 30,000
in 2010. He worries that the U.S. stock market is narrowly focused, but so long
as the biggest caps don't all collapse at once, he sees the "powers of light"
prevailing over the "powers of darkness." What do Fidel Castro, Mr. Magoo,
Charles Ponzi and Charles Munger have to do with all this, and which stocks does
Jennings especially like now? Read on.
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Also, Barrons had a box with a list of "Jennings' Picks" (5 stocks -- 3 from the U.S., 1 from Germany, 1 from England). QCOM was at the top of the list.
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