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Technology Stocks : CATS - Catalyst Semiconductor
CATS 25.89+1.6%Jul 2 5:00 PM EST

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To: Winner Victorious who wrote (30)12/10/1995 2:37:00 AM
From: Joseph wang   of 231
 
Well, think about this: not too many analysts are engineers.

They know nothing about SRAM do they?

I can give you examples of fund managers diving into drug stocks
which they know absolutely nothing about--and losing big on them
when the FDA decides that the drugs have harmful side effects.

I think SRAM stocks will recover because there is enough demand in
1996 for them. But beyond that, I can't say. Many of these SRAM
companies will end up diversifying--but R&D or acquisitions will
cost them alot of money.

I think for the short term, SRAM stocks are at their low (IDTI and
ISSI hit a PE of roughly 9-10 recently!). As long as MU's report
turns up good, these stocks will go up....otherwise I think SRAM
stocks will get further punishment--we'll see them around $10.

-JW
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