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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Barry Grossman who wrote (60923)	7/21/1998 2:37:00 PM
From: Paul Engel	Respond to of 186894

Barry - Re: " "the rapid increase in network capacity and personal computer processing power now taking place." Thanks for that post. I'm glad Microsoft and Cisco are sitting around on their hands extolling the virtues of 166 MHz processors ! Paul

To: Barry Grossman who wrote (60923)	7/21/1998 2:51:00 PM
From: Paul Engel	Read Replies (1) \| Respond to of 186894

Barry - Big time Investor Bails Out Of Intel. This story makes for interesting reading. Note how the "investor" was worried about Intel's "profitability" ! Paul {====================================} 07/21 8:01A (DJ) SmartMoney: Street Smart - Bailing Out Of Intel Story 1517 (AOL, CSCO-D, CSCO, DELC-D, DELL, INTC-D, INTC, LU, LUTI-D...) This story appears in the August issue of SmartMoney magazine. By David Geracioti Growing up in suburban Boston in the 1960s, Rich Frostig was a member of the Woodstock generation. "I was antibusiness, antimoney," the 51 -year-old says. But by the 1990s Frostig had become a proud member of the Intel generation. And recently that's meant knowing when to sell as well as when to hang on. Frostig, a public-relations executive at Renaissance Worldwide, a telecommunications and information-technology consulting company, had the prescience to sell his 100 shares of Intel in April for around $77 each. That price was about 10 percent higher than what they were trading at in mid-June and 40 percent higher than the split-adjusted $55 a share he had paid in 1996. Interestingly, Frostig beat his retreat weeks before the company announced that the introduction of Merced, its next- generation processor and an important generator of future earnings, would be delayed until the year 2000. "I'm not a number cruncher, but I just had this feeling," he says. "I love Intel. It's a great company," Frostig adds. "But it has hit a lull, and I was worried about its near-term profitability." So, naturally, are tons of other investors. Back in January, Intel management warned that while fourth-quarter profits topped lower estimates, its first-quarter revenue would be flat. That news added to concerns -- fears of weakening PC demand, the rise of sub-$1,000 computers, Asia, increased competition and resulting price cuts for Intel's chips -- that had been growing stronger all year. Frostig first bought Intel just as he began to take on high- tech companies as clients. As a result, the self-taught investor -- he didn't buy his first stock until 1993 -- invests his money as if he were running a nondiversified sector fund. "Why pay all those fees? Here I am doing it myself," he says. He owns Cisco, Dell, Lucent and Microsoft - - and that's it, although he is currently stalking Internet stocks such as AOL, Yahoo! and Excite. "The idea is to invest in companies that dominate their markets," he says. "It's funny," he adds. "My dad would try to get me to invest in this conservative mutual fund back in the 1970s, but I just didn't care." That thinking, clearly, was a holdover from his Woodstock period. Now Frostig logs on to the Net every day, reads the news and waits for the right time to buy back Intel shares. (END) DOW JONES NEWS 07 -21 -98