Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: Connor26 who wrote (92082)	4/7/2000 12:53:00 AM
From: Susan G	Read Replies (1) \| Respond to of 120523

Connor - One of the split newsletters made BEAS a play tonight. splittrader.com BEAS - BEA Systems Inc. $88.31 +6.88 (+14.93) Attention cat lovers! This one is not a dead cat bounce! Well, hopefully not. We are finally interested in this leader of backbone software that makes all of this e-commerce business we keep hearing about work. Internet stocks have been suffering from a huge amount of profit taking recently and we have seen this happen in April's past. But the correction could be over for this one. The Company split its shares 2:1 in November. Then the Company announced another split back in February when the stock was rolling. It was totally unintentional that the stock was actually cut in half by market action. The Company has not cancelled the split, scheduled for April 24th, and a proposal to increase the number of authorized shares was approved today. On top of the overall strength on the NASDAQ today, the share price of BEAS was further emboldened by the news that Delta Airlines has chosen BEAS to help build its redesigned customer Web site. This was on top of yesterday's news release that B2Bgalaxy.com will also rely upon the BEA WebLogic Server to drive their B2B e- commerce solutions. Tuesday's washout took the stock all the way down to $51.63 before recovering nicely. If the NASDAQ can hold up, look for BEAS to test $100. There is only a little support at $75 so be careful with this one. Bottom fishing is a dangerous game, sometimes you get the trophy but sometimes you end up being the bait. Due to the fact that the split is just around the corner, we feel that BEAS has a better chance at a short-term rally than most of its sister stocks in the Internet sector. We will be exiting this position before the April 24th payable date. Picked on April 6th @ $88.31 Change since picked 0.00

To: Connor26 who wrote (92082)	4/7/2000 1:01:00 AM
From: Susan G	Read Replies (2) \| Respond to of 120523

"Personal Capital: The new new rules" Great article from Red Herring. Mentions quality stocks and includes BEAS as one of the few mentioned. redherring.com REALITY BITES The brutal reality of the combined 10 percent decline on Monday and Tuesday reminded us that there is a need to return to some rules -- the new new rules. Let's keep things in control this time. Let's be reasonable about this. Let's regroup and regain our sanity. Here are the new new rules: The weak are toast. Are you meek in soul, poorly capitalized, or unreasonably leveraged? Can't handle volatility? If these attributes apply to you as either an investor or a businessperson, forget about it. Get a day job. Buy treasuries. Every company is a startup. A great company is only great on the day it announces a great quarter. The day after its earnings announcement, it's a startup again. A company that has never shown a profit should never be valued over $20 billion. Avoid companies in which the executives regularly brag about their market capitalizations and implore the public to buy more of their stock. Especially if these companies are breaking some of the other rules. The $5 billion/$100 million rule: companies with less than $100 million in projected annual revenues are not allowed to have a market capitalization of more than $5 billion. This, of course, requires more analysis of the growth rates, but enforcement of this rule maintains a bare minimum sanity level for the general growth paths of technology companies. It also provides a disciplinary framework for taking profits. Real technology markets matter. Examine the company. Invest in companies that are real technology innovators with rich customers. Is the company supplying complicated, proprietary networking gear to deep-pocketed telecommunications vendors or is it experimenting with avant-garde business models for selling beauty products over the Web? If it's the latter, it's in trouble. There is opportunity in the stocks that are now operating within the rules. As we sift through the companies that we've been following in this column and apply the new new rules to them, a few names emerge.