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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Charles Tutt who wrote (30600)	4/12/2000 5:26:00 PM
From: QwikSand	Read Replies (1) \| Respond to of 64865

Wait until those puts Microsoft is famous for selling start getting executed. LOL! That might put a little dent in the ol' quarterly result. But of course, it would really be Scott McNealy's fault. --QS

To: Charles Tutt who wrote (30600)	4/13/2000 1:03:00 AM
From: Alok Sinha	Read Replies (3) \| Respond to of 64865

Hi Charles and Sun longs, I missed most of the action today as I was in a training class and had no access to the Web. Since folks like you JDn, Quik, Sonki etc have been around this thread for a long time, the drop in SUN probably erases some fractional gains.Remember SUN is still up about 100% since last October. It is always interesting, downright hilarious, to see the perennial SUN naysayers come out (Dale J., Steve etc) of the woodwork to get their kicks during a week such as this. (If they invest in the market I am sure they got out when NASDAQ hit 5100 and are 100% in cash; and some of them probably shorted SUN CSCO etc with puts) I wouldn't sweat this correction too much (although my portfolio is down about 20% this week alone due to the big drop in SUN, MSFT, INTC and CSCO - still up about 5% for the year though). As I have always said - easy come , easy go. Relative to the beating B2b and Net stocks are taking in a long due, and IMO extremely healthy rationalization of prices relative to value, the old techs have been OK. I also don't buy any of this speculation that MSFT's troubles have fundamentally affected the techs. Given where MSFT was all of last year it hardly moved during the NAS run-up - its PE contracted during last year while most other older techs doubled or tripled. Basic facts are - it is a momentum driven market - the run-up lasted so long relative to historical standards that we started believing that fundamentals had stopped mattering - everybody wanted to make easy money - speculators / margin players piled on - disciplined approach to investing took a back-seat. These are all signs of a frothy market top. When momentum swings the other way we are trying to find reasons to explain the downside. Remember in a pyramid scheme (which is what valuation in a lot of the Net names were beginning to resemble), it is the folks who come on at the later stages who are left holding the bag. Think of it this way, SUN was as 40 (split adjusted last Aug) If it had gradualy risen 4-5 bucks each month to about 70-75 today, would we be complaining ? I tell myself - I am a regular investor who has slightly outperformed the market during the early and mid 90s probably due to higher risk that I have taken through my exposure tech stocks. Last couple of years I have had triple digit reurns in my portfolio without changing my investment strategy (in fact returns would have been higher if I hadn't been buying protective puts which mostly lost money). Most of you probably had similar expereinces. Should we believe that these returns are normal. NAS may come back (and I hope it does) - but long term investors ought to keep their perspective both in good time and bad. Regards Alok BTW I will be buying tonnes of calls tomorrow if the stock drops to the mid 70s. Should probably buy pts but now they are so goddam expensive.