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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: bdog who wrote (10925)	5/27/1998 8:06:00 PM
From: Gregg Powers	Respond to of 152472

I just read Limtex's last post and I hereby nominate him as the poster-child of the new paradigm. I, too, only want to own stocks that double in the near-term and therefore choose not to own stocks that do not. I, too, believe that it makes no difference whether the company makes buggy whips, toasters, nuclear weapons or marital aids. All that matters is that the stock doubles. Hopefully all the stocks that I pick in the future, without regard to their specific fundamentals or technological accoutrements, will promptly double by virtue of my selecting them. Why am I suddenly getting a headache? bdog...Japan is currently generating NO revenue for Qualcomm. A strong Japanese launch will be powerfully accretive to FY 99 earnings, a weak launch would still be a net positive. South Korea hurt QC because the company's business model contemplated a revenue run-rate that failed to materialized (i.e. management spent in anticipation of greater chip sales and more royalties). Now that the Asian crisis is burned into everyone's consciousness, I would deem it extremely unlikely that QC management would be predicating the FY99 budget on a blow-out Japanese market. Other the other hand, Japan is NOT South Korea. Japan's economy is suffering a modest (less than 2%) recession while laboring under the weight of the overall Asian crisis. Still, a 2% recession in business activity is a long way away from economic chaos and collapse. And remember, even in troubled Korea, almost 1mm new subscribers (out of a 45mm person population) were added in April alone. Don't underestimate the marketing effort that DDI/IDO will undertake to load their new network. Best regards, Gregg