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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Brendan W who wrote (2706)	12/10/1997 12:23:00 AM
From: Paul Senior	Respond to of 78595

Brendan Watt: Ah,um..I have no good reason for buying WDC at this point over SEG or Quantum. I originally chose WDC because they are more a pure play than Quantum and they outsource more than SEG (which is more vertically integrated). I also like WDC because they've done some very good work in the past few years to increase manufacturing throughput (implemented cycle time reduction). I felt that this would be a competitive strengh for WDC (assuming competitors did not also revamp their processes--probably not a good assumption). My intent was to lag into a very small position. So I've been averaging down a little. (Still, even with a very small entry amount @ about $24... it hurts.) Someone committing funds (and their sanity -g-)to the DD sector has about 2 reasonable options in dealing with these 3 main players: 1)pick the best and invest in that one only, 2)select them all - they may all be presumed to be undervalued. And I guess I came up with a third choice-pick one as a surrogate - they're all tarred with the same brush. My $ position is small & I'm averaging down. I also own APM a supplier to WDC- and here my position is larger and I am also averaging down. As these stocks continue to drop, it may well be beneficial to take the time to determine which is the best investment. Time and falling prices would be on the side of the patient researcher. Right now the outlook does not look very good at all. Very scary for DD bus. Seems like there are better opportunities elsewhere - maybe where vision is much clearer. Paul Senior

To: Brendan W who wrote (2706)	12/10/1997 1:34:00 AM
From: Paul Senior	Read Replies (3) \| Respond to of 78595

Brendan Watt: thanks for info on metals co's. I will look closer at PD. Looking for some of the same things you're interested in. Large ore bodies, geo. diversified, mineral/metal diversification, dividend, liquidity, misperceived as a gold extractor, primarily US or North Am. base. Biggest $ positions I own include Bristol Myers and Abbott. I also have a relatively large # of Sensormatic(SRM)which hasn't been successful for me. I'm slowly reducing an outsized position in Toys R Us(TOY). One other long term holding which I'm not ready to mention. I'm diversified among a number of large bank and small insurance companies also. Of the stocks I've talked about on this thread, if I said I owned them, I probably still do. Only a few positions were reduced or eliminated, and I think I mentioned those too. Currently I am looking to buy: UHAL (avging down), ION (adding to a new position), NCR and GNT (continuing to average in), VO (watching and thinking). I've also been averaging down on KMET (but losing my confidence for it as it drops faster and further than I expected). These stocks are not necessarily value plays at these prices or the lower prices to which they seem headed :-{ What other stock areas are you following and what do you like now? Paul.