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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Katherine Derbyshire who wrote (23051)	8/17/1998 9:17:00 PM
From: Proud_Infidel	Respond to of 70976

Sox Index up impressively(4.11%), but the S&P equipment index up nearly twice that of the Sox. quote.yahoo.com I really think any rally in the equipment sector will be short-lived, but I also think we are establishing new trading ranges for those in the sector. If the equips truly follow the semis by 6 months, we should be looking at assaulting the previous high sometime early next year. BTW, I want to go on record as saying when the visibility returns and the recovery does begin(ie orders are piling in), we will overshoot previous historical valuations in terms of PSR, P/E, and down the line. When I first invested in INTC earlier this decade, the market only gave it a p/e in the low teens. It was clearly obvious the type of growth it would see and the consequent multiple it should have been awarded. It eventually was. The same is true here. If the Bears do not think this sector is a "value" here, I do not believe they will get a chance to invest in them again before takeoff at significantly lower prices. Houston, we're ready for launch. BK