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Technology Stocks : QUANTUM -- Ignore unavailable to you. Want to Upgrade?

To: Dwight E. Karlsen who wrote (5032)	11/15/1997 1:18:00 PM
From: Michael Burry	Read Replies (2) \| Respond to of 9124

Since I've become an investment journalist, I've had a deepening of my understanding of how Wall Street works. Especially in speaking with and dealing with analysts and the companies. The analysts are driven to follow the crowd, and driven to look very short term. Even after a downgrade, a lot of these analysts will be privately thinking "this is a great buy" but know that the immediate appreciation might not be spectacular. The companies are petrified of pissing off the analysts and are paralyzed by absolutely any bad press - especially the mid and small cap ones. So you have sick situation that is like a shell game in which everyone is more interested in being everyone else's friend than doing the right thing. With Quantum, via the SEC statements, balance sheet and my relationship to an industry executive, I am extremely certain of the fundamentals. Back when it was up in the mid to upper thirties, I first posted that my target buy price was 28 (which allows certainty of getting in with a limited 10% short-term downside). When it went to that level on the 28th but my broker didn't execute, I wrote on my site that I wasn't going to chase it - the bargain value was under 28. So when Quantum came back I was ready to load up and average down as necessary. I really feel the individual investor has an advantage over both the analysts and the companies themselves. This assumes that the individual does his due diligence in fundamental research, and that the individual is prepared to hold until those fundamentals change. The advantage of the individual over institutions is the capability of waiting for just the right price combined with the fact there is absolutely no one to answer to. Good Investing, Mike