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

To: Jason W who wrote (23513)	4/25/2000 5:07:00 PM
From: TigerPaw	Read Replies (2) \| Respond to of 54805

favor JDSU over GLW? Speaking only for myself, I think JDSU is more of a pure play in the growth areas of optics. I associate Corning with easy bake oven dishes as much as networks, that may be unfair but I can't buy everything so I put my money on JDSU. TP

To: Jason W who wrote (23513)	4/26/2000 12:13:00 AM
From: tekboy	Respond to of 54805

GLW/JDSU and FUCH/QCOM 1. Jason, this thread adheres to a particular investing approach called the Gorilla Game, and we favor companies that we can classify accurately within our schema. (See the thread header and RTFM for details.) We like JDSU because it is the generally acknowledged king of fiberoptic equipment components--it is the leading player in its particular niche with a >2X market share compared to its direct competitors. To my (admittedly limited) knowledge, GLW is a fine company that will benefit hugely from the same general tornado and sports a saner valuation than JDSU, at least according to traditional metrics. But no one has convinced us yet that it meets the stringent GG criteria, so it is not a common holding here. I'm sure, however, that many of us would welcome a Project Hunt report on GLW, so I encourage you to contact Chaz, get the instructions, and write one up if you have time. Until then, we wish you prosperous investing and good luck corning money. 2. Re Fuchs' article on selling QCOM: this struck me as mindless FUD. I mean, I'm one of the less knowledgeable Qtips here and even I could pick out the various intellectual fallacies and lacunae it contained. Any who couldn't are strongly encouraged to do more homework in the thread archives (start with 833 above and skim March-June, paying particular attention to Mike Buckley and other regulars). Japanese WCDMA spectrum bidding might be a problem (I'll let Eric and Cha2 fight that one out); the stuff cited in this piece is not. tekboy/Ares@tekbaby=Qtipfetus.com

To: Jason W who wrote (23513)	4/26/2000 2:08:00 AM
From: BDR	Respond to of 54805

<<posters here favor JDSU over GLW?>> I don't know but here's my guess. 1)JDSU is a relatively pure photonics play and therefore easier to understand in GG terms. GLW is still perceived to be the King of Cookware. 2)JDSU is growing faster than GLW (revenue up 155% v. 36% last Q). Consider: -GLW's revenue last quarter was more three times that of JDSU. -In fact GLW's revenue last quarter was 40% more than JDSU's revenue for that last four quarters combined. -Put it another way, JDSU's total revenue last quarter equals the increase in GLW's revenue. -GLW's telecommunications division alone (optical fiber and photonics; there are two other divisions) had revenues more than double JDSU's. Despite all that, JDSU's market cap is nearly 40% greater than GLW's. Such is the premium given to growth rates and market dominance, I assume. I suspect that GLW may be the King of optical fiber but GLW doesn't break out fiber sales separately for comparison so I don't know that for a fact.