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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: Bretsky who wrote (21585)	3/28/2000 1:40:00 PM
From: DownSouth	Read Replies (1) \| Respond to of 54805

Bretsky, I don't thing that Jubak really has a handle on The Gorilla Game, so I would not be taking his advice. (Remember, he likes to buy AND sell.) 30% is a lot, but CSCO continues to perform quarter after quarter. The fundamentals have not changed. It's the biggest because it dominates the fastest growing industry in the world. What about the law of large numbers? Well, it ain't a law, just like Moore's Law is not a law. These misnamed ideas are just observations of past history and do not necessarily hold true for the future. Have you considered "Stock Substitution Therapy", selling some of your CSCO longs, using some of the cash to buy 2002 LEAPS of the equivalent number of CSCO shares and using the remaining cash to buy other gorillas/kings? That way you still have all those CSCO shares appreciating with a long term window and some new toys to play with.

To: Bretsky who wrote (21585)	3/28/2000 5:51:00 PM
From: chaz	Read Replies (3) \| Respond to of 54805

CSCO USA Today for Monday had an article on CSCO passing MSFT as world's largest cap company, but cautioned investors...saying CSCO, growing 29% annually, could not sustain that for the next 10 years or it would reach $9 trillion, larger than the entire US economy today. I don't hold CSCO, for precisely that reason. The bigger the base number, the harder and harder it becomes to enlarge it by last year's rate, so I see declining growth rates...not the mode I want to invest in. A smaller company with a lower but increasing growth rate may (perhaps will), in terms of stock price, outperform the larger company rather easily. I think I'm talking myself into NT with this. Chaz