Jach:
I have been reading your posts of gloom and doom for several months now. First off, I do agree that "if the mkt turns south", there is a high probablity that Cisco will go down. However, "if the mkt turns south", there is a high probablity that most stocks will go down.
Think about what is happening here. The people in the "baby boomer" generation are running scared. Some, or maybe even most, haven't saved for retirement. The stock market is viewed as the solution to no savings since one can make 20% a year and little risk <g>. Therefore, baby boomers are throwing $4B/month into mutual funds. Now, where does this money go? This money chases a finite number of large cap stocks such as Lucent, Intel, Microsoft, Dell, General Electric, Cisco, etc. etc. etc.
Sentiment in this country is strong. Americans believe that our economy is strong.
To summarize, if Cisco hits that price target of $35, then possibly two things happened. One, Cisco screwed up and "missed the bus" Two, people are jumping out of windows when the Nasdaq and S&P are only 3 digit numbers left of the decimal. The probabilities of either are small. I sleep well at nite, do you?
It's tough to bet against a bull market and a company as nimble as Cisco.
Good Luck. |
