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Strategies & Market Trends : Roger's 1998 Short Picks -- Ignore unavailable to you. Want to Upgrade?

To: Roger A. Babb who wrote (11794)	7/21/1998 1:56:00 PM
From: Jacques Chitte	Respond to of 18691

Thanks - will check it. I won't even try to get AMZN short - lost my enthusiasm for "saguaro bungee jumping" about fifty stitches ago :-)

To: Roger A. Babb who wrote (11794)	7/21/1998 2:01:00 PM
From: Kip518	Read Replies (1) \| Respond to of 18691

Had to short LCOS today. Internuts way out of hand TALKING POINT/Internet fund managers cautious Reuters Story - July 21, 1998 13:55 By Huw Jones NEW YORK, July 21 (Reuters) - As Internet stocks soar on the seemingly unlimited fuel of investor enthusiasm, seasoned fund managers are growing more cautious with each passing day of double-digit price gains. Internet stocks were surging again on Tuesday, led by Mindspring Enterprises Inc. , up 19-5/16 to 136, a day after Internet bookseller Amazon.com Inc. surged nearly 18 points. "We have gone into the realm of high speculation," said Lawrence York, lead portfolio manager at WWW Internet Fund. Market capitalization of many Internet companies now rivals that of long-established brand names, with valuations at lofty levels despite the dearth of profits in the sector. "We have had an incredible run for most of this year, which is clearly unsustainable at this pace," said Ryan Jacob, portfolio manager of the Internet Fund. All three funds, with assets of $2 million to $45 million, are minnows compared with giants like Fidelity, but they have been around for about two years, making them veterans in the emerging world of Internet equities. Returns on the funds this year have been in double-digits and have easily outpaced leading stock indices. York describes the publicly traded Internet companies as adolescents, and counseled investors to avoid being seduced by their youth. "A whole class has gone public before their time -- they don't have positive cash flows, earnings and so on. They are the type of companies venture capital would keep under their breast for a number of years and it's the general public that's putting up the money to test these companies," York said. Paul Cook, portfolio manager of Munder's NetNet Fund, said a 20 percent correction was possible in some Internet stocks, and he has trimmed back on holdings in Lycos Inc. , Yahoo! Inc. , Amazon.com, and Cnet Inc. . In contrast, the NetNet Fund has increased its holdings of online brokerages such as Ameritrade Holding Corp. , Charles Schwab , E*Trade Group Inc. , and in Internet security companies like VeriSign . Evaluating share prices is still tricky and defies the textbook approach, he said.

To: Roger A. Babb who wrote (11794)	7/21/1998 2:02:00 PM
From: Peter V	Read Replies (2) \| Respond to of 18691

Roger or anyone, what do you think of SRCM? Pluvia made a strong case for it, but nobody on this thread seemed to notice. It's up in the 28-29's again today.

To: Roger A. Babb who wrote (11794)	7/21/1998 2:08:00 PM
From: CalculatedRisk	Respond to of 18691

Roger, shorting "dawgs" has worked great for me! ACLY ... 9 5/8 ... off 64% since Jan 1st. TAVA ... 8 7/8 ... off 22% since my post on June 26th. ZITL ... 6 1/4 ... off 26% since last week. AMZN, AOL, etc. are amazing. I've stayed away, lucky for me. Regards, Bill

To: Roger A. Babb who wrote (11794)	7/21/1998 2:09:00 PM
From: tonto	Respond to of 18691

Roger, interesting article on SOLV's most recent problems with the SEC. SOLV and OCOM are similar in regards to supposed technology, no money, deadlines, when I shorted OCOM, I mentally placed the company as a similar short. OCOM position to be increased significantly. abqjournal.com