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

To: Mike Buckley who wrote (35805)	12/1/2000 8:36:16 AM
From: Bruce Brown	Respond to of 54805

I know it's in the Rule Maker portfolio. It was a long time holding in my family, but was sold in 1998 for around $73 in favor of more attractive equities. As much as I love the name brand and the product, it was hard to say good-bye to the holding that had performed so well over the years. I haven't really looked at the valuation since then until this morning in light of the glow of 'recession' type stocks to see what they were doing since the money was running out of technology and into other sectors like "smokes, eats and drinks". I can say I was surprised at the current valuation for Coke. The CAP awarded the company is very disconnected from the fundamentals. I'm not sure I would short it for a possible $10 - $15 move, but the thought does enter my mind. Are we to believe that in a recession more Coke would be consumed than in other times? I'd tend to go with more beer and cigarettes being used in such a situation. There have been some excellent writings at the Fool about valuation. TMFOtter loves to pick on all of my favorite companies (his favorite company is Caterpillar by the way) in his writings, but he has a point in terms of what the valuations had grown to in the past year. BB