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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Voltaire who wrote (50213)	11/15/1999 10:55:00 PM
From: Ruffian	Read Replies (1) \| Respond to of 152472

Volt, Did You Write This?> he Skinny on the New-Era Stock Market: David Pauly (Update1) (Changes 6th and 8th paragraphs to reflect closing stock prices.) (Commentary) New York, Nov. 15 (Bloomberg) -- ''Did you see that General Electric's P/E is 44? Must be a record. Isn't that ridiculously high?'' ''No way I even noticed. P/Es don't count anymore.'' ''You mean earnings no longer have any bearing on a stock's price?'' ''How many millennia have you been asleep? Earnings don't count either. This is a new era.'' ''But you can't just buy stocks randomly. How do you pick them if you don't use earnings?'' ''Momentum's a biggie. Buy them when they're rising, sell them when they start to fall. Qualcomm's the perfect example. It rested today, but it's up 14 times so far this year -- and there's no end in sight. Everyone wants Qualcomm's wireless cell phone technology. And for the fastidious, the company actually reports earnings. You get in a stock like this early and ride it up -- buying more as you go.'' ''Your momentum plays are perfectly timed, every time, no doubt. But you must be on the lookout for something that lets you buy before the run-up starts.'' ''Absolutely. Any company involved with the Internet. Didn't Jack Welch tell everybody at GE to use the Internet or else? That has more impact on the stock than profits. More to the point, how about a company like Juniper Networks? It makes routers for the Internet. It just went public last summer and it flew over the $300 mark today before dropping back.'' ''I'm sure Cisco Systems will stand by and let Juniper have as much of the market as it wants. Don't you ever look for anything more down to earth?'' Everyone's a Target ''Takeovers are as nitty-gritty as you get. Almost everybody's a target, so it's easy to find stocks that will get bought at a premium to the market. Look at Monsanto. For a time, people were excited about the life-sciences stuff they were talking about -- pesticide-resistant seeds, whatever. That hasn't developed as quickly as they thought, but Monsanto still commands a good price. Why? Because now it will get taken over by a company that thinks it can do better.'' ''Still, I keep reading that most, or at least many, mergers don't really work in the long run.'' ''So what? In the short run, the stocks involved go up. People believe what the investment bankers tell them. Despite the billions spent on research, drug companies don't have enough new products coming on; they have to merge to survive. AT&T and MCI WorldCom will wither if they don't get into absolutely every corner of the telephone business. Poor reported earnings should be ignored.'' ''And companies that never stop making acquisitions continually fudge the question of whether their deals work, don't they? They're always adjusting their books for the latest takeover, so you never really know how they're doing.'' Market Power ''How about a monopoly? Does that impress you as a reason to buy a company? Microsoft owns the PC software market. It can raise its profits at will.'' ''But Judge Jackson in Washington just ruled Microsoft abused its power. It might get broken up. The stock is going nowhere.'' ''That's just temporary. The end of this case is years away. Meantime, Microsoft has a lock on its market -- and in the end, it won't have to give its profits back.'' ''So, its P/E of 58 is justified?'' ''Can't you get off that stuff? I tell you earnings no longer matter. It's all impressions. That is, unless you're talking about the new earnings -- where you exclude all those silly write-offs for acquisition costs. I'm beginning to see the sense of that.'' ''Anything that justifies unjustifiable stock prices, you mean?'' ''You do have to keep the game going.'' ''Ah.'' <gg> Ruff

To: Voltaire who wrote (50213)	11/15/1999 11:36:00 PM
From: Jim Willie CB	Respond to of 152472

agreed, today was not downward pressure so much as simply getting carried away partying on a highspeed freight train we hit our support line, the Bollinger Band what a gas!!! check a chart with BBand for a hoot there is a limit to how much gains we can sustain fear does not occur in 30 minutes on the back of new highs at 406 rather, we saw an air pocket at 33,000 feet sorry for mixing freight train and high altitude metaphors, but this gorilla has the awesome momentum of a train, yet the climbing power to achieve great heights no way in hell does this story reverse in one day worst case selloff: 3/8 retracement at 335 you heard it here, jackass / Jim Willie