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Pastimes : J Doe #13 Off-topic Non-Specific Tech Stock Ponderings -- Ignore unavailable to you. Want to Upgrade?

To: Charlie Finley who wrote (1183)	10/21/1998 1:48:00 PM
From: Johnathan C. Doe	Respond to of 1819

You might have noticed that I bought low and sold quick a bunch of things recently and have more than doubled my profits taken in the paper portfolio. The lows several weeks ago were outrageous and safe no matter what market conditions prevailed. We will see this situation again IMO as the DOW will fall again; I'm looking for 40% off of the high before this bear trend is over. This is just a temporary bounce and after the next drop, there will be another. There is a lot of money to be made in this type of market; good stocks killed such as PRMS, RMDY, VST, AFCI, PAIR, PRLS; it is a much longer list. You could have bought PRLS at under 3! I'm now finally playing this for what it is; a bear market in the mid caps. Now I'm starting to make some money again. If I'm wrong, I can't lose either. I just will miss out on stupendous profits.

To: Charlie Finley who wrote (1183)	10/21/1998 2:15:00 PM
From: Johnathan C. Doe	Respond to of 1819

PEOPLESOFT INC. (PSFT) 19 1/8 -6 5/8 Once a high flyer and a Wall Street darling, shares of enterprise application software provider is having a rough time this morning as Wall Street turns less bullish on its outlook. Not that this should be much of a surprise as the company had already suggested that the market had matured. Last night, PeopleSoft reported a Q3 net of $0.17 a share, in line with Wall Street estimate. And while revenues for the period increased 61.8% to $351.3 million, ahead of Wall Street estimates, license revenues rose only 30% to $147.3 million from $113.0 million, below Wall Street forecasts of 40%. In fact, this is the main reason the stock is getting crushed this morning as the more volatile global environment has prompted corporations to become more selective with their software spending. Already, the company had cautioned this past summer about slower mainframe sales hurting results, which caused the stock to swoon in July. Hence, with increased competition from established application software makers already nipping at its heels, Wall Street is now concerned that its key licensing revenue driver may be slowing to a rate that makes it difficult to recommend the stock. After all, this revenue line used to grow by 75% or more as recently as late last year. Following last night's earnings release, several brokerage firms have downgraded the stock this morning, along with lowering earnings expectations. It seems that PeopleSoft will no longer be on the recommended list of brokerage houses until it can again prove that it can grow its licensing revenue line by at least 35% or more on a consistent level. This may not happen until the global problems dissipate.