To: LesX who wrote (866 ) 1/10/1998 4:12:00 PM From: Lord Smooth Read Replies (1) | Respond to of 14347
"70% of its value is derived from the overall market mass mania, 20% from the sector mania, 10% from that particular stock mania." I disagree with this, but your point of view is interesting. What is your source on this? If you are talking about P/E multiples, there may be some truth in general, but there are always exceptions. "If the markets tank, which I believe is a high probability, the small caps will be severely affected (regardless of their future promise). Because most sane people have a desire to preserve their capital, there will be a flight to safety and speculation in the small caps will diminish, hence a reverse in capital flow, hence a crash of the small caps." I agree with you on this in general, but there are always going to be stocks that don't kept swept away with the tide. I think RNTK may be one of them, but this is just an opinion. "Because I have gained from others help on this and other threads I feel it would be a disservice to at least not offer my vision as to what may well lie ahead. What is going on in the world is much bigger than RNTK." Right on, brother. We should be holding polite debates on this thread. Thanks for your commentary. I appreciate your opinion, dissenting or agreeing. I do not see the Asian crisis as a one of the worst financial debacles impacting the U.S. Look what happened in Mexico. Well, they're ok now and so are we. I bet you in three-four years Asia will be just fine. In fact, for U.S. based-investors, the currency crisis has opened up many investment opportunities. For Asian companies that sell in U.S. dollars and keep costs in home currency, their stocks are going to take off eventually, because their costs on a U.S. dollar basis will be lower with the stronger U.S. dollar. However, I bet you we see some market tumult over the next six-12 months. Where does RNTK fit in with this? It doesn't. I really don't see the impact on RNTK unless financial turmoil continues for more than a year... Thanks for your comments. Schopenhauer