To: Magnatizer who wrote (623 ) 3/29/2001 10:43:42 PM From: JoeinIowa Read Replies (1) | Respond to of 1298 Mags, I know you don't give a hoot about fundamentals but here is an interesting article on Pfizer. Joe Pfizer Partners With Techs -- 4:00 PM EST by Fanting Yu Peering over the high counter of your local drugstore, you wait impatiently for your pharmacist to decipher the illegible writing on your prescription. When a bottle of pills is finally handed to you, you discover that it's the wrong medication. Medical nightmares such as these occur everyday, and drugmaker Pfizer [PFE: NYSE], software giant Microsoft [: Nasdaq], and PC maker IBM [IBM: NYSE] hope to eliminate these unfortunate mistakes once and for all. We are maintaining our Hold rating on Pfizer at this time, but recommend investors look to buy on price dips. Pfizer, along with the two tech giants, plans to create an independent company to provide the relevant software and services to help doctors streamline their medical data and practices. With the aid of technology, the companies hope to move prescription and medical records online. The new firm will provide products for office-based healthcare providers. Pfizer said the three business partners will sign a definitive agreement, but no financial details were disclosed. The three companies, leaders in their respective sectors, will attempt to launch their first product later this year. Under the agreement, IBM will provide the hardware and installation services and will provide support to clients. Microsoft will provide its .NET Enterprise Server Platform, and its Windows 2000 application. Pfizer's sales force will then push the software to healthcare providers. The companies said that they are currently considering acquisitions to help build the still-unnamed joint venture. This type of partnership appears to be a new trend in the market. Hospital chain HealthSouth [HRC: NYSE] recently entered into a pact with business software giant Oracle [ORCL : Nasdasq] to provide more technologically advanced clerical support. Judging from the difficult time companies such as WebMD [HLTH: Nasdaq] has been having, the market that Pfizer's joint venture is targeting will prove challenging. WebMD has been frustrated by physicians' slow adoption of its services, and has had problems linking up incompatible systems - problems Pfizer will likely face as well. However, with the support of IBM and Microsoft, we are a little more optimistic of the new joint venture. We will revisit the partnership when the new company launches its first product. Market Timing From the Technical Desk On Feb. 6, we said: "Pfizer [PFE: NYSE] continues to trade sideways and today it hit the upper end of the range at $46.50. Look for it to slide down to $42 in 2-4 weeks." Pfizer ht our downside target of $42, but broke out of its range on March 12. It took a quick dive, but has recovered these losses just as quickly over the last week. If the stock can hurdle resistance at $41, expect $45 in two to four weeks. If it fails here, then look for $35. Risk Tolerance: ****(* Low risk, ***** High risk)