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Technology Stocks : IDTI - an IC Play on Growth Markets -- Ignore unavailable to you. Want to Upgrade?

To: 5,17,37,5,101,... who wrote (8334)	5/14/1998 12:22:00 AM
From: Rob S.	Read Replies (3) \| Respond to of 11555

IBM's service businesses are growing by an aggregate 28% per year. The hardware business is growing less than 10% - loosing market share. As the information storage, access and management requirements grow in corporations, IBM will find more opportunities in the high margin, high growth service sectors. Making strategic acquisitions in that area makes a lot more sense than buying one of the uP manufacturers. Maybe sometime down the road the picture will have changed, but I don't expect an acquisition of IDTI to be very likely. The rumors floating around about IBM or Rockwell or other company being interested in IDTI was, perhaps, a warning sign that the stock was getting speculative. Now the mood is gloomy, probably more so than the facts will prove is justified (time will tell). Ask yourself when you would best buy a stock, when almost everyone thinks it will soar to the moon or when most investors are not interested? If the prospects are indeed good and the problems only temporary, then my vote is for the gloom part of the cycle. I'm still out of IDTI but watching closely and hoping for some news on bottom line improvement that will signal a turn. This price level is interesting. Over time, I don't think investors would feel bad about buying now even it it continues to trend sideways or slightly down. I can almost guarantee that IDTI will be up by the 4th qtr.