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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: jhelmers who wrote (12683)	6/25/2001 1:00:00 PM
From: jeffbas	Read Replies (1) \| Respond to of 78542

Anyone think that somewhere in here GLW is presenting an opportunity to buy a large, quality, money-making company serving more than just telecom, at a price below long term intrinsic value? On AGRA is that company fully divested from LU? If not and LU were to go under there would surely be some fall out, and possibly even if there is now just a close business relationship. I would need to be persuaded not to wait for a LU bankruptcy to consider this and, if one never comes, so be it.

To: jhelmers who wrote (12683)	6/26/2001 11:19:57 AM
From: Paul Senior	Read Replies (1) \| Respond to of 78542

jhelmers, re: IM & TECD. They have in common that they are both computer resellers - a not-so-attractive business right now (apparently). Which might mean now is just the time to buy these stocks. Still, to me, both stocks look too expensive at current prices. Looking at TECD, I was surprised to see it's a $5 billion revenue company and on the Fortune 500. I like that they are broadly diversified within several aspects of IT. The size and diversification in a technical sector make it difficult for me to analyze the company though. Using just a rote model I have (based on TECD financial numbers over past five years and a capitalization rate), I figure fair value for the stock is maybe $35, maybe $40 if they can maintain current ROE performance. (Not saying my model is correct or even that it's workable - but it sometimes gives me a point from which to anchor an evaluation). Given that the stock's $30-31, and the price has bounced around, I'd be interested in TECD if I could get it closer to its lows (near 25). Jmo, and I've been wrong many, many times.