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Technology Stocks : IBM -- Ignore unavailable to you. Want to Upgrade?

To: J. P. who wrote (6987)	11/16/2000 11:41:39 AM
From: Kirk ©	Read Replies (1) \| Respond to of 8218

so you are saying that IBM is nothing more than a large margin trader? Use margin to buy low then sell back higher? I'm not sure I agree. Consider a typical upper income person who owns stocks, has a home loan with a mortgage and has a job to generate new income in excess of living expenses. Does he use the extra income from a raise to pay down his mortgage debt or does he continue to invest in 401K plans and company stock? If your salary goes up 10%, then you might even consider remodeling a kitchen and increasing your debt 10% with a home equity loan... What I am saying is debt in and of itself is not bad. I am worried when there is no revenue growth... Agree we need this to grow for the stock to go up in the long term. My 2¢ worth.

To: J. P. who wrote (6987)	11/20/2000 7:58:55 PM
From: LLCF	Read Replies (2) \| Respond to of 8218

<IBM has a solid plan. They issue debt (they're known as one of the best timers for issuing debt at rates favorable to themselves). Then they use that money from the debt issuance to buy back their stock (good timers there also).> Ho ho ho... you forgot part three! The best part: CASH IN!! Lou heads for the golf course real quick when things turn sour IMO: yahoo.cnet.com This stock is doomed... any stock purchase and debt offer looks like "good timing" now... wait till the bear get's done with this thing. Remember also, the strategy you 'tout' can't be sustained... they don't even have the cash flow to keep it up!! Got debt downgrade? DAK