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

To: LindyBill who wrote (39923)	3/3/2001 1:05:40 AM
From: chaz	Respond to of 54805

Hi Lindy, I hope not too...there's been so much pain for so many that it seems cruel to even suggest such a level. The problem is that people are now looking for "value" prices...by which I mean reasonable P/E ratios...something in the way of 15 to 25...look at AMAT right now...PE in the teens, probably a pretty good buy. If, as I am pretty sure is going to happen, that we see lower earnings, then rational PE's mean prices below what we have now. Could the economy stand it? Depends on how we get there. If it's a gradual grind down to that point, there'll be a lot of grief. If the bottom suddenly falls out, I think buyers would move in quickly and we'd probably run back up above 2000, causing little damage. How's that for forecasting. Good thing Merlin isn't seeing this. He'd go bananas. As for listening to me...Lindy, I wish I had listened to you back in 1999. If I'd had money to invest in the Spring instead of the late Fall, I'd be in a much different place now. Nice to hear from you. Glad your day job is working out well. Chaz