Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: American Spirit who wrote (79784)	7/9/2001 4:46:24 PM
From: t2	Read Replies (2) \| Respond to of 99985

Like I've said many times, PE's are poor way to judge stocks right now when earnings differ so much from Q to Q. Agree with that statement, given the current economic environment..the term "trough earnings" is important to keep in mind. Comparative EPS will start getting better with the 4th quarter. Therefore, the reason to buy is now. I can imagine mutual funds that were light in tech stocks are adding selective positions. Just getting news that Corning and Alcatel cutting a lot of jobs (in addition to GLW cutting EPS estimates for the second half of the year). When these companies keep cutting, they are in effect reducing their capacity and any pickup in demand and earnings start getting better. Cost cutting ends up making the companies more efficient in the long run. (have to admit I don't like the optical stocks at all--too late to short most of them(imho))