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

To: Kumar Nathan who wrote (9833)	10/27/1997 10:40:00 PM
From: Big Bucks	Respond to of 70976

Hi Kumar, I think you are right, the only thing bouying the stock right now is that last Friday was the end of the AMAT fiscal year and earnings will be announced in about 2-3 weeks for the year. Should be good earnings but the stock cannot stop the momentum of the markets and investor sentiment. The only good thing about all of this is that the funds are bailing out which will leave the short term fortunes of the company in the hands of the"Individual investors" to buy at rock bottom prices for the run again next year. I hope you have some cash available to take advantage of this marvelous buying opportunity ($22-25), even if it goes lower it that should be within 10% of the bottom, as I see it. Regards, and good investing!! BB

To: Kumar Nathan who wrote (9833)	10/27/1997 10:42:00 PM
From: akidron	Read Replies (1) \| Respond to of 70976

kumer, if this continues amat will be affected big time. to pay amat for capital equipment fabs exchange local currency into $US or borrow local currency to exchange into $US. this is very much more expensive today than it was last week. that is a fact. no way will amat buy back shares under this circumstance because a) current expansion plans are capital inensive and b) they could well be faced with push outs that well negatively affect cash flow. the above does not mean that one should not be bullish because there are a host of competitive reasons why fabs would prefer not to delay capital spending, however they might have to, and that is something to keep in mind.