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Non-Tech : Bill Wexler's Dog Pound -- Ignore unavailable to you. Want to Upgrade?

To: JDN who wrote (2727)	8/2/1999 11:30:00 AM
From: DanZ	Respond to of 10293

JDN, Whether Bill is just yanking my chain or takes his ridiculous banters seriously, I don't like to play games. People are entitled to hear all sides of a story and I can only base my opinion of his "analysis" on what he types. You are entirely correct that stocks of fine companies get overvalued from time to time. The challenge for those who sell a stock because they think it is overvalued is not to ignore future estimates or short term factors that influence stock prices. Because of the inherent problems with using fundamental analysis for short term trades, I prefer to use technical analysis for trading. However, before I take a large investment position in a company, I take a serious look at their fundamentals, both past and present. In some cases, one will find that stocks appear to be overvalued based on past earnings, sales, and book value, but undervalued based on the future outlook. The debate then is whether the future estimates are reasonable. GumTech has an entirely new management team, a new strategy that has proven itself with quarterly revenue increases in each of the quarters that it has been implemented, increasing margins, a new product (Zicam) that has the propensity to generate large sales relative to GumTech's previous sales, and another new product on the horizon (nicotine gum) that has the propensity to outsell even Zicam. GumTech has many of the attributes of William O'Neil's CANSLIM method of investing in stocks. I'd be happy to discuss the future outlook of GumTech and the valuation of the stock with Bill or anyone else. Druss and Mad2 have brought up some good points about GumTech that have provoked good discussions. Bill has yet to say anything about GumTech that provokes anything more than an argument because he doesn't address the main issues and resorts to personal attacks and other nonsense to divert attention. Best to all, Dan