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Technology Stocks : AT&T -- Ignore unavailable to you. Want to Upgrade?

To: Mark S. who wrote (3933)	11/27/2000 6:27:49 PM
From: 44magnumpower	Read Replies (2) \| Respond to of 4298

Wy NOW might be the time to BUY AT&T. AT&T and why now might be the best time to carefully consider purchase of the stock. The "media" and the "analysts" have done alot of egg throwing lately at AT&T and C. Michael Armstrong. The list is long. I read a story a couple of days ago from Business Week where the writer said that the Grand Slam (the four part split up of AT&T) was more like a bunt. My real gripe is with the media and for in my view, not getting out of their offices and really doing their job. I believe that the decline in the long distance business was inevitable and known . It has been known to AT&T and that's why they've been building the communications world of tomorrow. Wireless, Broadband, & Cable. The street just keeps looking at the horse and buggy division of AT&T (long distance) and seems to ignore the growth that's been taking place in the newer segments of AT&T (the Corvette). I'm surprised that the "analysts" are not complaining about the lack of earnings growth in the telegraph segment of AT&T, which after all is part of the company name itself! What I do know is that since I've watched the financial markets over the past decade or so, the boss of Mr. Grubman, a Mr. Sanford A. Weill (Sandy) has always seemed to know how to pick a winner. When Japan was being thrown away, Sandy Weill was there buying. Sandy Weill is the CEO of Citigroup (C). Sandy Weill sits on the board of AT&T also, and has been a purchaser himself of AT&T stock at a much higher price. He came on Moneyline a few nights ago, and Terry Keenan asked him what he thought about AT&T, the 4 way split up, and the job C. Michael Armstrong was doing, and of course I was on the edge of my seat. This is one person that I wished I had followed every financial move of his when he made them. He basically responded that he believes that Michael Armstrong is trying to create shareholder value. He said it reassuredly and right after hearing him, with the stock near $22 per share or so, I shut the T.V., looked at my wife and said, "Well, that's enough for me!" It's my understanding that one out of two U.S. households cut a check to AT&T once a month. Maybe now it won't be for just long distance. Maybe it's Cable or Wireless or other AT&T services. There are some things I have disagreed about with AT&T, but overall, I think that technological advances sometimes come so quickly that who among us would have been prepared for the decline in long distance so quickly among all of the long distance carriers, not just AT&T? Yet, over the past couple of years or so, AT&T has been creating new segments that are growing at double digit rates of growth. AT&T also has a large customer base to market the newer segments to. As for the large debt of AT&T, I recall that you have to spend some to make some. If you look at most of the successful mergers that have occurred in the past few years, almost all of the time, the media and analysts have claimed that the buyer overpaid. Maybe so. I think the analysts and the media should take a good look at AT&T and especially at C. Michael Armstrong. After hearing Mr. Armstrong speak on the internet about the quarterly earnings and the new four way split up, I just felt I should believe him, and I do. You will have to be patient, & one thing I've noticed is that the street doesn't just panick on the downside, but they can panick into a stock and take it up. It starts with "short covering" and the next thing you know people come charging in themselves. Maybe this will become another story like Oracle was! I sure hope so. I forgot to mention that right now 85% of AT&T wireless stock, trading under the symbol AWE, which is only a tracking stock, will become a regular stock issue as part of the planned 4 way split up of AT&T. As it currently exists, with AWE only being a tracking stock, and with only 15% of it having been floated to the street, how can any of it's competitors even consider the idea of it being "In Play"? Something can only be considered "In Play" when it is possible that it could be "taken over" or "merged". Under the new Four way split up of AT&T, I would think that would give added value to the Wireless stock as a result of "speculation" that might occur, that someone will want to take over or merge with their competitor. This possibility might exist in any of the Four parts that are currently AT&T. At the least, it should allow the street to more fully value each one of the four parts on each of their own merits, because each of those parts would be in a position to go where they choose to. I think it would be as if the children of Ma Bell are going off on their own, being more recognized for having personalities all of their own, and not looked upon as all still sitting in their mother's nest. Yet with each of them tied to AT&T, to their own benefit in cost savings that could give them an edge against their competitors. Like moving out of the house, but knowing full well, that you still have healthy ties to Mom!