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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Alok Sinha who wrote (17980)	7/20/1999 2:32:00 PM
From: Charles Tutt	Respond to of 64865

I agree with much of what you say, but 10% in two days seemed a bit excessive. I've been looking at the "conventional wisdom" that SUNW always sells off after earnings, and I'm not convinced the effect exists (or if it does, that it's big enough to worry about). From highest high to lowest low in the month of July for the period 1987 through 1997, SUNW's worst performance was a drop of 28% (in 1996), but in 1994 the drop was only about 9% (and seems to have happened just BEFORE earnings were announced -- it closed the month near its monthly high). A 28% drop would put us in the low 60's, about where we were in mid-June. If it performs similarly to 1994, then we may already have seen the low. JMHO.