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 : Silicon Valley Group -- Ignore unavailable to you. Want to Upgrade?

To: David Aegis who wrote (1509)	3/18/1998 2:02:00 PM
From: FJB	Read Replies (1) \| Respond to of 2946

David, RE:Anyone with thoughts on shorting ASMLF as a means of limiting risk/hedging a long term position in SVGI? I think downside on SVGI is very limited. Not like Book Value is some inviolable, but how many profitable companies trade at book? Not many. Although I was picking on some shorts over on the ASML thread the other day, the stock does seem ripe for a good correction. Their growth projections for this year seem based on some tenuous financing, but I wonder why analysts aren't aware of that(maybe the financing is solid?). RE:What makes ASMLF so attractive that it has held up near its all time high while the rest of the stocks in this group got bombed? They are expected to grow pretty strongly this year, but again there is that Korean financing thing. They've also been added to the Dutch equivalent of the DOW or something like that???, so they have to be included in index funds. ASMLF looks pricey, but is expected to grow much faster than the sector. If any part of their financing falls through or they have some negative comments about business conditions, the stock is going to get hit hard. Quality company with a stock that has gotten ahead of itself. IMHO, Bob

To: David Aegis who wrote (1509)	3/18/1998 5:36:00 PM
From: Crossy	Respond to of 2946

David, let me conclude it would be SUBOPTIMAL to short ASMLF, since ASMLF is definitely gaining market share. If You really want to short something, short the Japanese - altough I don't know whether it's possible to short ADR's. However I think it should go OK. Canon is definitely traded in the US as well and many Nippon Inc. watchers predict lower share prices after end of March (end of Japanese fiscal year). Nikon is even more an almost pure litho play than Canon is (their camera business seems to be just a habit <G>). Anyway, SVGI is a good company - technically very apt. But clearly, I don't see the battle ASMLF vs. SVGI. It's more Japan Inc. vs. the others... regards CROSSY