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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: AD who wrote (60141)	5/1/2002 10:45:17 PM
From: Zeev Hed	Read Replies (1) \| Respond to of 99280

AD, these are the same Fools that kept their people in AOL and few other doozies. Actually, the trio that they say one should stay away from are priced the way they are because they are the (current) most successful enterprises in their respective space. Once we get the "wash out, i still expect in the next two months, I think these may be very good candidates to lead the market up. I remember a lot of people shorting Krispy Kreme in the $40 range pre split, and the valuation was then as outrageous as it is today. Short these type of stocks only after they break, not as they make new highs. By the way, PII made a new high again and I don't suggest shorting it either (g). Zeev

To: AD who wrote (60141)	5/1/2002 10:49:09 PM
From: AD	Respond to of 99280

3. Avoid serial acquirers and big acquisitions. I could also use WorldCom as an example of an acquisition strategy gone bad, but let's instead look at Tyco (NYSE: TYC), a serial acquirer, and AOL Time Warner (NYSE: AOL), the result of a mega-merger. I took a lot of flak when I warned investors last November about these two stocks, but they've fallen 62% and 42%, respectively, since then. Making many small acquisitions or one big one are both fraught with peril, yet some CEOs insist on engaging in such behavior. There's not much the average shareholder can do about it -- other than sell the stock, of course. Today, my least-favorite acquisition/merger is Hewlett-Packard (NYSE: HWP) and Compaq (NYSE: CPQ). Two stones tied together still sink, so avoid this one like the plague. fool.com same article as previous