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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: Rande Is who wrote (48308)	3/1/2001 11:51:50 PM
From: American Spirit	Read Replies (3) \| Respond to of 57584

Tech stocks are very-very undervalued now. I'm not talking about some of the high-fliers. You can argue about any of the few stocks which still have rather high PE's but look at how many giants now trade for PE's in the low teens. How many are trading for a market cap of cash or less than cash in the bank. How many are below book value with none of their infrastructure assets being valued in anymore. Giving absolutely no value to the future at all. As if the internet is finished. This tech market has priced in a virtual depression right now. And being bearish may be fashionable and even right most days lately but boy oh boy is there a relief rally coming. How soon I don't know but soon. Even if it's just a bear rally a 25% pop would be very rational now. Of course Greenie does need to move his ass and keep cutting but this has gotten just plain ridiculous. I'll admit I've been wrong on the bullish side quite often lately and have lost a lot being that way but don't tell me there's an internet bubble or a single bit of irrational bullishness left. It may not be a conspiracy but it's a mass psychological delusion. Even with a one year slump fair value for these tech and telco stocks is significantly higher than they are trading at now. I can't predict the future and no one else can either but this has gotten just plain ridiculous. Bargains of the day; VZ at 11 PE, LSI at 13 PE, SCNT for cash in the bank value, LOR at two bucks below book and seven bucks below estimated real value of assets. To think some are shorting or selling these stocks makes me wanna puke. Thanks for letting me vent on this thread. PS - Retailers, tobacco, defence and many energy stocks have doubled since a year ago. Major techs have been cut by an average of about 70%. Internets and dot-bombs by an average of 90%. Some perspective please.

To: Rande Is who wrote (48308)	3/2/2001 1:17:58 AM
From: Kanetsu	Read Replies (3) \| Respond to of 57584

<So then you believe that the stock market trades freely. . . and moves simply on supply and demand?> Damn right I do! On any given day I can buy or sell just about any stock I want, to me that means it trades freely. If there is more demand than supply it trades up and vice versa. Why is this so hard to understand and why do p/e's contracting to historical levels indicate some kind of conspiracy? QQQ still has a p/e of 50 or something. You cite stories on the sec website as proof that there is stock manipulation, but the vast majority of that has to do with individual, thinly traded penny stocks and the like. It has nothing to do with why stock prices in general are depressed today, to quote James Carville, "it's the economy stupid." This is not to say that hedge funds, large securities companies etc.. are not responsible for short term fluctuations in price, but in the long term, supply and demand based on fundamentals will prevail. Now, tell me more about that land in Florida...