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Technology Stocks : Micron Only Forum -- Ignore unavailable to you. Want to Upgrade?

To: MR. PANAMA (I am a PLAYER) who wrote (22974)	10/26/1997 1:09:00 AM
From: davesd	Read Replies (1) \| Respond to of 53903

This is what Kurlack had to say about Micron in an interview... QUESTION: Recently, you switched suddenly from positive to negative in your outlook. One example was your position on Micron Technology. How does that happen? ANSWER: When you are taking a journey -- and you go in one direction and then another -- there is always a point in time when you have to make that turn. The point is to get to the end of the distention. We bought [Micron] at $20 with an objective of [reaching] $55 to $60. We got there and we got out. The whole idea is to buy low and sell high. It's not that complicated. The stock hit the price objective that we had set for it. Secondly, and coincidental to the stock hitting our price objective, it became apparent that Micron was not going to be able to continue expanding earnings because of price weakness in DRAMs. They had pretty much [reached the end of their] string on cost reduction -- their die size shrinks on the old 16 megs. So that story pretty much ran its course. We took a hike, declared victory, and went home. It was not throwing in the towel. That happens when the stocks go from $50 to $20 and you get out. That's a give-up. If we are doing our jobs, we would be getting people in at low prices and out at high prices in this industry. If I followed a different industry there might be some other approach, but in the [semiconductor] industry, you have to do that. dave