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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Maxer who wrote (15269)	7/23/1998 2:21:00 PM
From: JF Quinnelly	Respond to of 77400

Some of the other networkers were having problems and the sector fell out of favor. Cisco was doing fine, but still fell in sympathy. It gives you an idea of how far the stock can fall even with Cisco doing everything right in a bull market. This stock does correct, sometimes dramatically.

To: Maxer who wrote (15269)	7/23/1998 2:55:00 PM
From: IBthinkin	Read Replies (2) \| Respond to of 77400

The reason was 3COM. Every networking stock corrected in a major way after Jan 23,1997. ASND started on its way from 80 to 22(I know because I held it all the way down and back up). At that time the momentum players believed that COMS and CSCO were equals or thereabout. The rebound of the major players in networking have now proven the falsehood of that theory for good. CSCO and the NASDAQ have had many corrections in the past three years. The Dow Jones is the only average that hasn't corrected like it should, and is overvalued based on any possible model one can think of. kc

To: Maxer who wrote (15269)	7/23/1998 3:59:00 PM
From: Doughboy	Respond to of 77400

As I recall, the precipitating event in the drop in CSCO was an off-the-cuff remark made by Chambers at some sort of conference where he opined that it was unrealistic to think that CSCO would continue its current pace of 50% earnings growth year after year. That produced a sharp sell off. In hindsight, it looks like Chambers simply was making a bland, reality check statement, and unfortunately, many short-sighted investors, who were especially skittish from the bottom falling out of COMS, didn't want to hear anything except rah rah go CSCO. I had the good fortune to get into CSCO then, and have not regretted the 140% bounce since. As I recall, CSCO also moved in sympathy with the Market during the Oct. 97 correction. Another short term event that turned into a buying opportunity. I would welcome a correction and another shot at a 40% discount on CSCO shares.