Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : LUMM - Lumenon Innovative Lightwave Technology Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Fred McCutcheon who wrote (918)	9/23/1999 3:05:00 AM
From: RCDTD	Respond to of 2484

<<Two small but subtle differences between LUMM and DELL, Microsoft etc.... (1) They provide financial disclosure so that the market can assess their promotion against a base of facts. >> Again I must remind you, this is an OTCBB stock at the moment and will be filing for NASDAQ shortly. If you choose to invest in such a company, you have agreed that the risks are higher but the returns be quite substantial. You have to determine the base of facts for yourself and perform the necessary tasks to do so. It will be limited but you will have those facts. Here are some facts: This sector is experiencing tremendous growth. Examples of facts are JDSU, OCLI and SDLI. The ?promotion? states the potential growth of 8 billion for DWDM systems alone. Per the Arizona conference of Economic Forecast. Analyst have forecasted that the Photonics Global Market is today at about 50 billion. It is expected to grow to 500 billion by 2010. I don?t think the huge potential market value of photonic products can be argued. So now, what?s the facts about LUMM. Well, you have to do some digging. Since this is company is not presently filing, you do what you can to validate the technology and it?s potential. Based on those facts, you can assess what the financial potential of the company is. First I contacted the company and tried to attain as much facts about there products, time lines and long and short term goals. Then I contacted outside entities not associated with LUMM. Residing in Tucson AZ which is referred to as the ?Silicon Valley of Photonics? I contacted the University of Arizona which has a highly reputable photonics program. The fact is, a particular professor knows of LUMM and has high regards of their technology. Since MOLX which is a player in the industry chose to partner with them, I would say that gives LUMM some credibility. Having a CISCO employee as a technical advisor to head them in the right direction is also quite encouraging. A previous ?promotion? stated that the first year of inventory is already sold. That?s because MOLX is confident that whatever the present pilot plant will produce, they can easily sell. PHASIC technology enables the production of photonic devices at the fraction of the cost of present devices resulting in a robust and flexible product. That is a fact proven in years of research in a laboratory setting. It will soon be proven in a manufacturing setting. Actually, the chips are already in production. They are fine tuning for market grade quality. Based on the facts that there is an incredible market potential for this product and LUMM?s PHASIC technology can satisfy this lucrative market with production of tele-communication devices and data communication devices LUMM has incredible potential. I guess the facts we are looking for differ Fred. You want numbers. At this present time you have to determine those yourself. You and I differ in regards to investment styles. It?s not the difference between how LUMM markets itself or DELL etc?. They all market themselves. LUMM has numbers, they just aren?t official and public yet. Why, it?s an OTCBB stock soon to file for NASDAQ. You as the investor have to do your homework then determine if it?s for you. I collected my facts and determined the financial prospects. That assessment was good. Numbers aren?t always the determining factor for a company these days. Especially companies that fill the need of the internet. Increase of Bandwidth presently has the greatest tele-communications demand. Why, because of the internet. That?s why you see all these internet companies trading with incredible market caps. I will use again Healtheon as an example. It is a fact that they have been losing money since operation. Yet they are able to purchase WEBMD which has also been losing money since operation. As I said a dozen times before, it is the potential of that company which makes it appealing to the investor. Crunch the numbers for many of these companies and you wouldn?t have invested. You also would not have made money. Many analyst crunched the numbers for DELL and recommended against them. Guess what, they have turned out to be the stock of the decade with 7 years of 2 splits a year. I was in the last 2 years against the advice of my broker. It was also my broker which gave me bad advice and told me to buy 3COM instead of CISCO. Why, the numbers say that 3COM is under valued and CISCO over valued. Guess what, 3COM crashed and stayed there. CISCO in the meantime has doubled, then split and doubled again. That?s why I don?t believe in numbers and brokers. I do my own research and make my own decisions. Since then, my returns for every stock I have chosen has been over 100% in less than 9 months time. I guess I?ve been lucky and blessed. My current return on half of my LUMM investment is 1200% and the other half 1000%. Your probably saying I?m a fool for not cashing in. Everyone has their own investment styles. I believe LUMM has a long term future and those returns in time can exceed 10,000%. <<(2) They are marginable stocks so that contrary opinion can express itself by going short if it perceives a gap between market price and reality.>> I can?t argue with the fact that LUMM is not marginable. I feel you are comparing apples to oranges. My response to Devil was on the topic of ?promotion?. Whether a company is marginable or not is not the point. All companies want to promote themselves regardless. I think it?s more of a question of choosing how and what to invest in. If one needs concrete numbers at this time to compare market price against reality, LUMM is not for you. Otherwise, wait for the NASDAQ filing or do your own research and number crunch from that. That?s my 2 cents. Since I won?t have access to a computer for a few days, good luck to all!!!

To: Fred McCutcheon who wrote (918)	9/23/1999 8:39:00 AM
From: RCDTD	Respond to of 2484

Forgot add 2 little tid bits. In my example of CISCO, I did my research and chose CISCO as the company to invest in. I called my broker to buy it. That?s when he went on about how the numbers reflect them being way over valued and 3COM was the better buy and was way under valued. He even bought 3COM himself. Well we know the ending of that story. Since we used Microsoft as an example, when they first started and sold their OS to IBM, what numbers did they have? None. The reality was no one knew how big Microsoft was going to be. Not even IBM who made the deal with them. <<They provide financial disclosure so that the market can assess their promotion against a base of facts.>> Financial disclosures for companies starting out may be non-existent in the beginning. The facts didn?t provide IBM to make the correct decisions. When it comes to start ups, it?s about seeing the big picture, not just crunching numbers. You have to visualize what the company has in vision and decide whether circumstances and facts about the company and market potential makes them a good investment. LUMM is doing exactly what made Microsoft successful, taking a needed product making it better but for LESS. Remember when Apple came up with their version of WINDOWS operating system. Steve Jobs literally gave it away to Microsoft without even knowing it. Well, Apple themselves didn?t develop it either. Anyway, the WINDOWS operating system was just a beefed up version of APPLE?s operating system. The differences was the availability of WINDOWS because it was almost being given away and not made exclusively for IBM. LUMM is making a DWDM IC CHIP, just like JDSU, OCLI and SDLI. It?s just a beefed up version. It?s stronger, has more flexibility and less delicate as present DWDM methods. LUMM is providing the same exact product as Microsoft did. Apple thought they couldn?t be beat. Neither does JDSU, OCLI and SDLI. If Nortel, Ciena, Lucent etc?. was offered a product that performed better but for less, which would they buy? Well in Microsoft?s example, most everyone bought Windows. I am betting in LUMM?s example, they will buy LUMM?s chip. Remember, LUMM is using the present infrastructure and developing same photonic products. They are just making it better and for less. That?s why Microsoft dominated the industry. They made a better product, for less. At that time, Windows was a revolutionary OS. LUMM's photonic DWDM IC chip is revolutionary as well. It is a next generation technology which will revolutionize the photonic industry. No other company makes a DWDM IC chip like LUMM. None. To add, it's less expensive. My point is, ?market price and reality? does not necessarily always determine what the future brings. There are many more factors involved other than financial numbers of a company. Tito (need to get some sleep) Domingo