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Technology Stocks : Applied Materials No-Politics Thread (AMAT) -- Ignore unavailable to you. Want to Upgrade?

To: Gottfried who wrote (5022)	1/18/2003 1:25:05 PM
From: robert b furman	Read Replies (4) \| Respond to of 25522

Hi G, With less Capex spending in the past, their earnings would have been better thru the bottom.It makes one wonder if it would have helped? I guess after seeing Mr. Softee get slapped by better earnings,a dividend and a 2 for 1 split - it just doesn't matter. Its all supply and demand and I think the shorts are once again pouring on the supply. Hard to envision what could create the shorts to cover when billions of earnings don't turn the tide. What we have as these companies get right sized is profitless prosperity.The lack of profits stop incurring a tax liability as the cashless expense ( depreciation ) allows the accumulation of cash as the ongoing r&d gets expensed and depreciated. This is not exciting to watch and it is horrible for the government's receipts.However it does build great balance sheets.Cohus cash is up 11 million on no profits!! Most do not appreciate how much the government was a recipient of the huge gains made during the dot com bubble and distribution top of the markets in 00. The lack of capital gains receipts is crunching the government's fiscal strength - hence the deficit. The importance of the stopping the double taxation of dividends will refocus the trillions on the sidelines (money markets) to equities. Many of those hurt most by this recession have been those elderly or otherwise that rely on fixed income from bonds and/or savings accounts. The taxfree status of dividends will be very powerful to the markets and to the federal government's receipts. Look at all the municipalities belly aching about how hard it will be to issue munies! Unless you are on the short side - equity investors need to strongly embrace the proposed legislation - WRITE YOUR SENATOR !!!! WRITE YOUR SENATOR !!!!! They need to know that the saving class is not just the wealthy class.Many young beginners need to continue investing in this market.They must start somewhere and in a taxfree portfolio is a good start. The SENATORS to know they are dealing with the VOTING class. They will afterall do only one sure thing - Save their own hides and cherry retirement plans. Oh yea did I say WRITE YOUR SENATOR?!!! Bob