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Technology Stocks : Rambus (RMBS) - Eagle or Penguin
RMBS 88.13+1.0%Nov 21 9:30 AM EST

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To: jopawa who wrote (19593)5/3/1999 2:51:00 PM
From: Sun Tzu  Read Replies (2) of 93625
 
>> Not exactly going out on a limb there

No I am not. Then again, since I have no position in RMBS, I don't see why I should <g>. Anyway, at times of uncertainity, either you should stay out completely, or you should just trade the stock based on the psychology. To buy (or short) a stock in times of great uncertainity as a 2 month+ "investment" is akin to buying a lottory ticket as an "investment". If somehow you are involved in the semiconductor industry and have insights that others lack, then all the power to you. Everything else is just speculation.

Now about the money that Intel spent in support of Rambus technology, I believe it was all either loans, or equity investments. Either way, Intel does not stand to lose much on those investments if Rambus' technology does not pan out. The issue to discuss is, how critical Rambus is to the future of Intel and over what time horizon. Answer that question and you have the answer to hold or fold RMBS.

good luck,
Sun Tzu
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