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Non-Tech : BANK ONE -- Ignore unavailable to you. Want to Upgrade?

To: Rob C. who wrote (310)	2/12/2000 6:59:00 PM
From: Big Dog	Respond to of 466

Thanks Rob: Actually things don't seem too easy at this point if you take into account: (i) the financial sector is not in favor, (ii) ONE is down 55% from its 52 week high, (iii) Federal Reserve is increasing interest rates, (iv) bond yields are moving higher, (v) oil prices remain high, (vi) all stocks except the familiar technology names, certain IPOs, and (temporarily) bio-technology stocks are down -- see my last post. With regard to ONE, this is what the January 18th earnings press release said: "Reported net income for 1999 was $3.479 billion, or $2.95 per share, versus $3.108 billion, or $2.61 per share, for 1998. ``Bank One's operating results for the fourth quarter and full year are consistent with previously communicated expectations,' said Verne Istock, President and acting Chief Executive Officer. ``All of Bank One's businesses, except credit card, continue to perform within targeted ranges. We have a comprehensive plan to rebuild First USA's performance close to industry levels by the end of 2000.' Are we being contrarians in viewing ONE as a "value" play here? ONE management made a mistake Wall Street hates. That's giving overly optimistic earnings guidance. ONE has paid the price. But, management in the same press release stated that it plans to wring-the-Hell out of expenses and improve customer service. In addition, as you well know, they're looking for a well-respected executive to take-over the reigns. Is there a "light at the end of the tunnel?" I believe so.

To: Rob C. who wrote (310)	2/13/2000 8:38:00 AM
From: Big Dog	Read Replies (2) \| Respond to of 466

Rob: Gekko was right! "Perception has become reality." This was written by James Cramer this weekend in theStreet.com: "Yesterday Cramer Berkowitz paid 176 times trailing earnings for 10,000 Cisco (CSCO:Nasdaq - news). (Textual analysis time. Cramer Berkowitz is our $360 million hedge fund, and seeks to make maximum profits with minimum risk. Paying 176 times earnings means the stock is very expensive when the market sells at 33 times earnings. The earnings I'm using are the trailing earnings, or the last four quarters. Cisco is the great networker that makes the insider wiring computers use to send over voice and data at high speeds. Ten thousand shares is the average size for a buy of a liquid stock.) ... ... Let's talk about Bank One (ONE:NYSE - news). I own some calls on this stock, but it is really getting hammered -- much worse than it was during the real estate fiasco of '90. Anybody know what is going on?" Questions his investment in ONE, but comfortable at any price for CSCO?