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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Amy J who wrote (93629)	12/9/1999 5:59:00 AM
From: nihil	Respond to of 186894

I still like the companies who acquire potential competition with funny money and have a lot of cash and no debt. I really enjoy Cisco dutifully negotiating its standby credit facility which it never uses. I like Intel and Dell and Microsoft selling puts, and cashing in. I like everything about these guys except their being overpriced. I can even stand their big dips because their target is the world and the rate of growth need not slow down for many years, so PE/G ~ 1 seems nice. But even a 200% a year price increase for a 100% grower doesn't make sense to me. Of course, I ride them up as long as I can keep my seat -- but I feel uneasy. What really bothers me is that all of the gee-whiz smalltechs I find are going up. The net IPOs are absurd. The Linux boom! How can Linices and Sunw all go up (and Intel go down). I'll bet you it is a bubble. 20-30% a year for the leaders is fine. Sudden bursts for startups (Cerent? Juniper?) for sure. But ADSP? The time is out of joint. Walk carefully.

To: Amy J who wrote (93629)	12/9/1999 1:30:00 PM
From: Paul Engel	Read Replies (4) \| Respond to of 186894

Amy - Re: "- Time is not renewable" I really like that line ! Paul

To: Amy J who wrote (93629)	12/9/1999 8:05:00 PM
From: Saturn V	Read Replies (1) \| Respond to of 186894

Hi Amy, Thanks for an excellent summary of the present internet mindset. The only thing which escapes me is the million dollar question " How do you value such a company ? ". I have not found anything which answers this question. I would appreciate if you can point me to anything in this area. It seems that the only question being asked is how big is the potential world wide market for an internet product or service, and implicitly assume that the company will hit 100% of that market in four years. That is if any attempt at valuation is being made at all. Mostly the companies going public are raking it in, and investors are panicking and throwing money at any internut company. No wonder the thinking is "Money is free". I really see an investor panic. The only logic I see is the "bigger fool theory". It sure smells like Tulipmania. And I hope that I am wrong. I wish that the same logic is applied to Intel Itanium and the internet businesses. As we know these businesses are not projected to have significant profit next year, and are thus adding zilch to todays Intel stock price. I am sure that the market will adjust for this in due time, but when the Internut bubble finally corrects, what will be the impact on the rest of the stock market and the economy ?

To: Amy J who wrote (93629)	12/10/1999 5:17:00 AM
From: Joseph Pareti	Respond to of 186894

Re : Under the new rules, if you have any profits, it means you aren't moving fast enough, it means you aren't hiring enough employees, aren't buying enough ads, aren't buying out your competition. So what's the goal? Cash or market share? isn't it strikingly similar to the "buying on margin" in 1929 ? ------------------------------ "Two new and sinister elements emerged: a vast increase in margin trading [online/day trading] and a rash of hastily cobbled-together investment trusts [Internet stocks]. By 1929 some stocks were selling at fifty times earnings. [How about well in excess of 50 times revenues today?] As one expert put it, the market was 'discounting not merely the future but the hereafter.' A market boom based on capital gains is merely a form of pyramid selling. siliconinvestor.com