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Technology Stocks : LSI Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Tony Viola who wrote (14870)	9/10/1998 8:29:00 PM
From: shane forbes	Respond to of 25814

Tony: The PC related semis were taken down hard for all the usual suspects related to the global economy + 1 important one - the inventory reduction in the channel. Inventory serves as a buffer. Without adequate inventory on any uptick in demand the prices of these stocks will take off. (In any case the OEMs may have to do some refilling of the inventory because it appears to be wiped clean at this stage.) Finally as it relates to LSI, I really do not want LSI to get into PC related things - pretty pointless IMO. LSI is the way I play the long term SLI thing and there is no point going after markets with SLI unless INTC is not involved or the number of competitors is miniscule. In PC related components INTC is virtually everywhere (just a slight exaggeration) and since the industry has been around for a long time there are oodles of competitors. [Unless of course the market took LSI down because the Symbios acquisition was seen as a dive down into PC HDD depths - thus now do we see an uptick because the Symbios "PC" part is seeing demand pick up and more importantly prices stabilize.] Again I'm not too concerned either way. I'm pretty set with a sell date of LSI commencing somewhere around mid Spring 2001! Until then this PC thing is all water off the duck's back. <g> MU is likely the best bet - the TXN thing made them very strong and assuming that Rambus DRAM does not kill them they should do extremely well... There one I said buy PC semis and two I said buy MU! (neither of which I will do except maybe for some of my analog buds...) The more things change the less they stay the same. There is enough of a positive in the INTC report to move semis (and the semi-equips) very sharply higher tomorrow (I'll say +10% on INTC and even more on the niche semis related to the semi business. With too many cooks one day it could always happen that one of those cooks finds a better recipe... (to wit competition is evil - they can fill the fabs today but what of tomorrow? I like LSI because I think they can fill the fabs for several tomorrows in the future if things pan out - so it is a flip-flop between LSI and the PC related semis - one group happy today but maybe a tricky tomorrow, one company ok today but should be very happy over the ensuing tomorrows.) pan out