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Technology Stocks : Oracle Corporation (ORCL) -- Ignore unavailable to you. Want to Upgrade?

To: TideGlider who wrote (7730)	7/1/1998 1:12:00 PM
From: MeDroogies	Read Replies (1) \| Respond to of 19080

I think you mean companies that lose money get valued better than ORCL...and I agree. AMZN is a weird one...but I think that is a bunch of overlapping short squeezes... MOT isn't faring so well these days, but that isn't germaine to your point. And your point is correct. It's all about making the analysts happy.

To: TideGlider who wrote (7730)	7/1/1998 6:31:00 PM
From: lml	Read Replies (1) \| Respond to of 19080

"Then why do companies that lose money & are not growing make money" TideGlider: What counts is not growth but the perception of growth. I have not done much research on the internet stocks, but I presume these types of companies may be the ones you are referring to. I also presume that maybe some of these companies, as you assert, may not be growing. Growing what? Earnings? Revenues? Market position? Partnerships? It all depends upon what you consider growth. And growth is what a growth company is all about. It doesn't have to be earnings right now. If its an internet company, some of the latter types of growth may be sufficient to give the company a growth company market cap. For the record, I am long ORCL & have been for a long, long time. My average basis in this stock is about $4. So what used to be an annualized 120%/yr return is now about 60%. I'm not complaining but one has to acknowledge that the market right now does not value ORCL like it has in the past. As such, I have opened a number of call positions on my ORCL holdings. I am not bearish on ORCL, nor am I bull right now. I'm waiting, just like The Street is. "A few dark clouds? They [ORCL]make money." The dark clouds I refer to are over longer term growth, not today's cash flow. ORCL, as a mature company, is a cash cow; the Company will be around for quite awhile, & is in excellent position to renew its status as an eminent growth company once the clouds over its longer term strategy for growth blow away. But right now, a myopic view of ORCL's financials & a bunch of pounding of the table is unfortunately not going to blow those clouds away. The only force that will accomplish this is evidence that ORCL's strategy for NCA, or applications, or datawarehousing, or some other high growth area is taking place & will lead to renewed higher growth over the longer term. Some find the foregoing hard to accept for such a stellar company. Its still a stellar company, but as with growth companies, focus is not on stardom, but on growth. JMO.