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 : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: sepku who wrote (34226)	2/10/1998 3:14:00 PM
From: Greg h2o	Read Replies (2) \| Respond to of 61433

That's right. We'll stay in this "goldilocks" economic environment forever. KO is trading at 40x earnings and they'll be lucky to grow earnings at 18% this year. I don't care what kind of technological advances we have, the math doesn't work. It is impossible to convince me that the market-leading stocks (ie. the 10th of the S&P 500 that is moving the market higher) is not overvalued. I only use KO as an example because I'm in Atlanta. I'm not saying technology isn't a wonderful thing, but there's a reason the market has moved sideways for the last six months... maybe it IS becoming more rational and will move sideways for a while as earnings actually catch up with prices. Oh, and if you think the recent full employment won't eventually lead to higher inflationary figures, then I think you're missing a key component of the economic picture. regards, greg

To: sepku who wrote (34226)	2/10/1998 3:21:00 PM
From: Greg h2o	Respond to of 61433

RE:<But the market will ALWAYS go up in the long-term> But how many of the short-term investors on this thread are willing to take a long-term approach? I would venture to guess the vast majority of those on this thread haven't seen a protracted bear market. Most probably didn't even see 1987's "crash". But, because it is recent enough history they look at 1987 and believe that even if there IS a serious correction, SURELY we'll all recoup any of those losses within a year! Ask the Japanese.... greg