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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Jacob Snyder who wrote (48019)	6/16/2001 5:28:40 PM
From: michael97123	Read Replies (2) \| Respond to of 70976

Jacob, I believe john and i were talking about 5 core stocks for the longterm. I understand your buy points but there is no long term in your trading range. I dont get it? mike

To: Jacob Snyder who wrote (48019)	6/16/2001 5:37:20 PM
From: Proud_Infidel	Read Replies (2) \| Respond to of 70976

Jacob, INTC is becoming a too-big conglomerate, whose core business is a commodity INTC's core business(MPU's) basically has two players controlling 95%+ of the market. A commodity by definition, is a market with low barriers to entry and thus many players competing for a piece of the pie. Given that the MPU business is mature(ing), how can you possibly call it a commodity business when other players have not successfully entered? IBM and Cyrix have tried although unsuccessfully. If it was truly a commoditized business, you would have many suppliers as you have in the DRAM space, where you could not count up all of the makers without using all of your fingers and toes. Even if someone wanted to enter the market and approached a TSMC with a design for a new MPU, in all liklihhood their chip would NEVER be adopted by any leading PC vendor, since AMD still has trouble getting adoption by some vendors. FWIW, I am long INTC primarily because I do NOT see them as a commodity player. BK

To: Jacob Snyder who wrote (48019)	6/16/2001 6:11:37 PM
From: John Trader	Read Replies (1) \| Respond to of 70976

Jacob, Thanks for your inputs. Your strategy obviously involves trading a lot, which seems like a good plan in this manic-depressive market. INTC is a tough call. My guess is the stock will continue to outperform. I recall Tom Kurlak beating down the stock a few years ago, it went up about 4 times from the trough to the peak after that. When you say you like smaller chip makers focused on non-commodity areas, does this include the communication chip maker group? Perhaps you are right about NOK. Looking back it has performed real well, however, and the management seems very good. If this 3G thing ever gets off the ground it should help. It seems the risk with your strategy is that prices may not come down to your buy levels. If we all knew where prices would go to of course, we would not have to do this for very long. It has been a trader's market lately for sure. Longer term though I believe most traders have lost out to the buy and hold camp. Being a very skilled trader is probably the best approach. Regarding CSCO, I sold mine. The decision was based on the bad decisions recently on the part of managment (e.g. lending to dotcoms), market cap, and the fact that they are still trying to get into the optical area, and are getting hammered by JNPR in the high end router area. There is also the argument that at some point it will be all-optical switches that do the job. At 10 though it may be a great buy, not sure. EMC is being attacked by the likes of CPQ, SUNW, Dell, and NTAP. I am not sure how that turns out, but I think EMC will probably prevail. How did you resist buying JDSU all this time if you like the company? I recall lots of strong recommendations for it at much higher prices. I am curious in general as to how you came up with you buy numbers. Is it based on TA, FA, or both? John