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 : Novell (NOVL) dirt cheap, good buy? -- Ignore unavailable to you. Want to Upgrade?

To: Joe Antol who wrote (20821)	3/7/1998 2:21:00 PM
From: Hector	Read Replies (1) \| Respond to of 42771

Joe, Quite seriously, the public has learned from recent experience that buying the dips always works. In the meantime, the professionals are selling into these rallies. This is a manic market as evidenced by Yahoo going to 80, AOL to 125 and so on. Companies that have good concepts, but earnings are nil or doubtful. Did you see Barron's today. Microsoft's market valuation increased by $40 billion last month, which was more than the increase in GDP for the whole US economy. If that doesn't signal a mania, I don't know what does. All manias end and in my opinion, these earnings warnings from INTC, MOT, CPQ, and others yet to come, will be the trigger that ends the bull market. Regards, Dave P.S. BTW, a trigger that's lurking in the background is the noose tightening around the Clinton presidency.

To: Joe Antol who wrote (20821)	3/7/1998 2:41:00 PM
From: Paul Fiondella	Read Replies (1) \| Respond to of 42771

Let David respond but The thing is Joe to buy CPQ on this dip you would have to be pretty sure they can recover in the short term and also believe you could get out on a short term bounce. Such a dramatic drop in revenues and the acquisition of DEC at the same time and with what is going on in the economy overall makes it sound like a somewhat longer term problem. Lower margins on lower box prices in a potential box slowdown?! With ORCL all we get now are statements from the CEO that it was a one time currency fluke. Are we getting that from CPQ? If you are building a long term position, as I think you are, then the question would be when does it cross over what you have have paid for it up to now? You have followed this stock for some time so perhaps you could enlighten us on the chart.

To: Joe Antol who wrote (20821)	3/8/1998 11:57:00 AM
From: Jack Whitley	Read Replies (1) \| Respond to of 42771

<<David: Why do you say that? Re: dipsters? Do you think it will go sub 20 and further? (serious question). I bought and avged down ORCL on the dip, and did exceptionally well (even to date -- now at 26.5, $9 profit for me). So why do you say "This will be the time they shouldn't have." Just curious (and serious).>> Thursday PM I got a call from a Scott & Stringfellow broker I trade with, who has been very good in terms of quality information over the last two years (by the way, he has never pushed Novell, even two years ago when it was 4 stars on S&P). He was really pushing CPQ hard. I didn't buy any, but I am looking at it. I think CPQ's Friday warning REALLY surprised them, caught them flat-footed. If that happened to other houses as well, CPQ could get a worse slamming than is traditional for missing earnings. The weekend may help people think more rationally, but Monday will be interesting. jww