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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?

To: pater tenebrarum who wrote (1074)	10/25/1999 6:41:00 PM
From: marginmike	Read Replies (1) \| Respond to of 19219

There are plenty of good tech stocks that are not overvalued. If you look in the Telecom, especially wireless most of the companies like NOK, ERICY, MOT are trading close to a 1-1.5PEG. If your analogy to MSFT works why cant it apply to companies like JDSU, QCOM, GMST. These companies have very good visibility. Lets take QCOM it is growing at a 50% year over year clip. It has a monopoly in CDMA and without handset division(about to be sold) will hve 45-55% margins. It might be there are many overpriced techstock's, however there are plenty of buys out there too. It just takes getting by the "everytech stock is overvalued" mentality some insist on having. I bought VOX 3 months ago at 11 it is up 80%. It had a 12PE when I bought it and was growing at a 35% clip. The fact is that The technology sector is where the growth and earnings are. If you are not in it your portfolio will lagg. What other sector offers 30% year over year earnings and revenue growth? Surly not consumer cyclicals or OIL. I agree that big cap Tech and the internets have gotten excecive, but in any bull m,arket there is speculation. Take a good look at small and mid size tech, and buy on PEG not PE.