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

To: gc who wrote (66232)	2/8/2000 2:04:00 AM
From: Jon Koplik	Respond to of 152472

gc - I want to re-print a post from the Yahoo Qualcomm thread. (Yes, there is some good stuff there, occasionally). If you assume that this person knows what they are talking about, you would have used the post-earnings sell-off in QCOM to buy more shares, maybe. (Maybe QCOM is still lower right now than where you lightened up ?) ******************* Lots of noise, few logical observations by: exploringsomefiords 1/25/00 5:37 pm Msg: 108963 of 114139 40% of the handsets in the world are sold during the calendar fourth quarter, i.e. during the December quarter. Handset sales NORMALLY decline during the March period. Last year, however, when the CDMA market was much smaller, the seasonality was hidden by the start-up of Japan and continued roll-out of PCS and 800MHz in the U.S. Qualcomm is simply pointing out that, given the enlarged overall market, and the lack of a major new geographic offset during the period, NORMAL cellular seasonality will prevail. The issue is exacerbated, to some extent, by the continued component shortage (also discussed by Motorola). What you bright-boy short sellers seem to miss is that seasons pass and component shortages go away. Moreover, the Street understands the business' inherent nature, so the aftermarket selling is being done by uninformed day traders 'investing' by sound-bite. You also seem to be missing the pro-forma $177 million in royalties, which should put the company in the ball park of $750 million for the year (substantially ahead of current expectations). Stupid is as stupid does. Posted as a reply to: Msg 108868 by trdr1_45230