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

To: Cary Salsberg who wrote (56995)	12/5/2001 4:10:27 PM
From: Jacob Snyder	Respond to of 70976

re: Do you have sell and buy back price ideas? I don't think I will sell the AMAT stock I'm holding (cost basis 29). Or any other of my long positions. I'm sitting on large ST paper gains, and the IRS gives me powerful incentives not to take profits yet. I'm very, very glad I bought back those covered calls I sold (at a slight profit). If I hadn't I'd be looking at getting called out. What I might do is hedge, by buying NVLS put LEAPS. Haven't started doing that yet. I had previously posted that I'd buy NVLS put LEAPs when NVLS hit the mid-40s. We're there, but I'm waiting for at least a hint of a stall. The Nas and SOX just now broke through resistance, and may run. Or may not. Since I'm uncertain, I'll probably do nothing. My other hedge (just started nibbling yesterday) is JNPR (at any price over 24). IMO, NVLS and JNPR are both second-tier companies in their sectors, being slowly squeezed by the Gorillas in their sectors (AMAT and CSCO). Also, their customers (semis and telcos, respectively) probably won't increase capex till 2003. So current valuations in both those sectors are not justified, and won't be justified for a long time.