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Technology Stocks : Altaba Inc. (formerly Yahoo) -- Ignore unavailable to you. Want to Upgrade?

To: Bill Harmond who wrote (3937)	12/9/1997 12:18:00 AM
From: Peter Goss	Read Replies (2) \| Respond to of 27307

I do remember, but I am wondering why you want me to remember. You are making large macro arguments for why YHOO should remain a darling. I was making a large macro argument for what will pop the bubble in the US and cause a massive reversal of that P/E expansion you refer to. If the high - but at least managable valuations - of the strongest, most profitable companies in the US economy are adjusted downward, how do you expect the hyper valuations such as YHOO to remain immune? Do you have any company specific valuation measures that you find relevant or do you just think valuation is irrelevant because of your earlier "land grab analogy'? Peter G.

To: Bill Harmond who wrote (3937)	12/9/1997 7:34:00 AM
From: santhosh mohan	Read Replies (1) \| Respond to of 27307

<<Do you also remember the fall of 1994, when Mexico crashed, slowed the US economy and set up the huge 1995 advance (due to p/e expansion) in spite of the Fed raising rates in early 1995? This could be a repeat of that, but on a much broader scale.>> Just a gentle correction in your recollection of history - The Fed started raising rates in March 1994, and initiated the first cut in February, 1995. This set up the rally in 1995 and subequent years. Last Friday's employment report would have triggered a Fed tightening with 100% probability except for the Asian crisis. Who knows, they may still throw a curve ball at the December 16 meeting. On a micro level, this Yahoo mania may continue till the end of 1997 due to the momentum monkeys piling on. I challenge you to buy and hold even if YHOO declines 30 - 40%. With Intel's and Microsoft's investment in CMGI and Microsoft's investment in HotMail, the pieces are in place for Yahoo to face some serious competition.