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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: Tenchusatsu who wrote (42403)	5/17/2000 3:05:00 AM
From: Joe NYC	Respond to of 93625

Tenchusatsu, Depends on how you look at it. RMBS moves so wildly that a savvy, patient investor can get a much greater return from RMBS than from AMD. I guess it depends on you knowing when to buy and when to sell, which is not easy. For example, tomorrow, is it time to buy or to sell or to stay on the sideline? Joe

To: Tenchusatsu who wrote (42403)	5/17/2000 3:10:00 AM
From: Eric K.	Read Replies (2) \| Respond to of 93625

I have to get used to referring to people by name (or alias)... tench-- A patient investor has made about a 400% return from AMD already. If Willamette only ramps in the hundreds of thousands as stated by Albert Yu at the IDF, you have to agree AMD should at least double from here. Do you mean to tell me that you believe RMBS is worth $11B (its market cap at $450 a share)-- which is how far it must rise just to get the return that AMD has already delivered or to deliver a gain equivalent to what AMD is probably 85% likely to deliver over the next six to nine months? Longer term, I can justify AMD at $276 a share very easily if AMD meets its objectives. What if RMBS meets all its projections and every memory product sold yields a 2% royalty to RMBS? For RMBS to do an equivalent performance to AMD's best-case scenario, RMBS needs to get to a $40B+ market cap. Is this reasonable? I suppose if you want to project 110M PS2s before March 2001 and a 3%-5% cut of everything to RAMBUS, you can justify such a price. Since when does a savvy, patient investor like volatile stocks? Don't you mean to say a period-trader (where period < 3 months) can get a much greater return from RMBS? -Eric