Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: John Trader who wrote (13824)	2/9/1998 1:59:00 AM
From: Mang Cheng	Read Replies (2) \| Respond to of 45548

Dear John, to answer your questions, I would like to bring to your attention that the despicable tanking of coms is not a 3com's specific phenomenon. All semis and disk-drives tanked in tandem with coms. So I came to the conclusion that a general slow-down in high-tech demand is causing all the problems for these companies. All these companies, like USRX, due to years of bull-market were highly geared up to supply a booming market - and once the Asian bugs and other flu hit - all hell broke loose. Now with most of these companies greatly adjusted their inventories, shutting down factories (seg, intc, Korean, Japan etc.),and jumping eagerly into new product upgrade cycles (semi to 0.25m, networkng 1000baseT, and don't forget Window 98 will come this year) - supply and demand shall come back to balance later this year. Most semi companies had already broken out in anticipation of these. Coms is consolidating right now. Though its chart looks alright it's lacking the general high-tech market. It could be due to its odd-shape reporting period (reporting next month) and it would eventually catch up. This month is still young, profit warning can still come anytime. Maybe selling now and buying back early next month is not a bad idea. But I think this Feb. should be good for high-tech. FWIW, just my humble opinion. Mang