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Technology Stocks : Altaba Inc. (formerly Yahoo) -- Ignore unavailable to you. Want to Upgrade?

To: Bill Harmond who wrote (11454)	6/27/1998 4:55:00 PM
From: Oeconomicus	Read Replies (2) \| Respond to of 27307

Cementheads are people who short Yahoo solely because it has gone up... Do you have a name for the people who buy it at $150 "solely because it has gone up"? If one is bearish because of valuation and another is bullish because "look what it did last week", one is a "cementhead" and the other is a momentum "investor"? I'd agree that shorting something simply because of a sharp rise in price, without regard to valuation, is not smart. That something might have been seriously undervalued before its rise and still may be undervalued. That, however, is not the case with YHOO, AMZN and many others. They were seriously overvalued before and even more so now. The market always recognizes value ... eventually. It works both ways - under and overvaluation. It's called contrarian investing. BTW, the nice thing about shorting with puts is that you really don't "stay short at it goes up more". You just wipe your tears with the worthless paper, throw them in the trash, let the mindless "buy it because it's up" bulls pile in, then establish a new position.