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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting -- Ignore unavailable to you. Want to Upgrade?

To: JGoren who wrote (80973)	10/13/2008 3:47:59 PM
From: Art Bechhoefer	2 Recommendations Read Replies (1) \| Respond to of 197271

Re: QCOM in hedge fund portfolios. First, I question how recent the data on hedge fund holdings is. Second, if anything, the hedge funds were selling QCOM shortly after the announcement of the agreement between NOK and QCOM. Last week, when the market dropped below 9000 on the Dow Jones Industrial Average, QCOM dropped less in percentage terms than most tech stocks, and the overall market. Finally, there have been redemptions in hedge funds as well as mutual funds, and these redemptions have forced many funds to sell securities in order to raise cash to make good on the redemptions. No doubt there have been margin calls as well, which may have forced investors to sell QCOM to compensate for losses in other stocks. Thankfully, none of the QCOM executives found themselves in the position of the CEO of Chesapeake Energy (CHK), whose vast holdings in CHK led to a margin call that dropped the price of the shares by almost 50%, after an earlier drop of nearly 70%. It will be interesting to hear what QCOM has to say at its analyst day in NY next month, concerning any stock purchases that might have occurred last week. Art