Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: Will Hou who wrote (19715)	7/26/1998 2:59:00 AM
From: William Wang	Respond to of 45548

Will, excellent analysis, agree with your TA 100%. I have been voicing my concern on 3Com's management after its earning report and don't want to repeat that again, otherwise someone will be blaming me as an evil short seller. But couple of points I want to add here, 1. 3Com's short interest has declined 6% to 11,560,201 shares from 12,297,308 shares. So it's clear that the selling pressure was NOT coming from short sellers BUT institutional investors. (Small investors have been buying according to my block trade data) 2. Stock price is based on P/E, P/S ratio, but also is a reflection of demand/supply. When everyone falls in love a stock, they are willing to pay any price that carries unsustainable P/E, YHOO, AOL, even CSCO are good examples. On the other hand, when a stock is out of favor of market, it will continue to drop even below its book value, just take a look at ADPT or WDC. The point I am try to make here is when we talk about 3Com, fundamental is important, but respecting market perception (Eric. B again) is a MUST for us to make money on this unpredictable stock. Never fight against the tape !