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Technology Stocks : Check Point Software (CHKP) -- Ignore unavailable to you. Want to Upgrade?

To: c. carlson who wrote (5665)	3/23/2001 12:52:20 AM
From: atc	Respond to of 7150

I suppose it is classic human behavior when the going is good, everything seems obvious and predictable. It was the same way last year when the trading longs felt so brilliant with their estimates of ever higher resistance levels. CHKP is a great company and great stock for some of us since its IPO. What makes it great is that you can also make money playing the momentum on both sides, which is why it is now a top 25 volume stock on the NAZ everyday. I still remember the 200-300K trading days. For us LTBH, the best play is to set up a regular cash out schedule like Mr. Unger and use the profit to buy other beaten up stocks. Going forward, CHKP will not rest on its laurel and will to continue to dominate its marketplace, which helps me sleep well every night. It also means that traders big and small can continue to make money if that is your cup of tea. Good luck to all investor and traders!

To: c. carlson who wrote (5665)	3/24/2001 1:25:03 PM
From: James Hutton	Read Replies (2) \| Respond to of 7150

You're right in that CHKP is being revalued along with other NAZ stocks. I bought CHKP in 1998 when it was selling at less than 20x trailing earnings, so looking purely at valuations, it could certainly go lower. However, to simply assume that CHKP could go further down because other NAZ stocks could go down further is overly simplistic. Many of the semi/telecom/storage and other 'hardware' stocks have gone down because of declining cap. ex. and because of an inventory glut. The inventory glut doesn't seem to affect CHKP, although a more limited amount of cap ex certainly could (one reason the decline in CHKP's price). I see CHKP's downside as being in the low-mid 30s and its upside, on a percentage basis, is much higher given its business, market share and great management. I don't think anyone here has said there is no risk in the stock, especially in this crummy market. The LTBH here just have a longer time frame than you apparently have. I'm not sure why you feel compelled to blast everyone on this board for having a different viewpoint than yours. Good luck.