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Strategies & Market Trends : Bosco & Crossy's stock picks,talk area -- Ignore unavailable to you. Want to Upgrade?

To: Iris Shih who wrote (2888)	11/21/1998 2:53:00 PM
From: Crossy	Respond to of 37387

Iris. regarding AMD, I'll sell Monday. The last candle was a "bearish engulfing" pattern, I got into at $16.75 and will sell at $27.5. That's a nice gain. I think it will get down to $21-23 eve tually. That would warrant another entry. Valuation-wise still cheap. (PSR less than 1) This quarter will be quite profitable. But next will consume most of the Dresden ramp-up. I made some calculations. If they ship 5million and can keep the ASP at $100, then they can earn at least $0.20 - even if they increased R&D by 10million. So they could be in for a nice surprise. The real thing with AMD will be Q3/99 when K7 sales will materialize. By that time, AMD will have a capacity in excess of 10 million CPU per quarter. That's a sheer size Intel won't be able to keep in check by splitting the market and lowering the ASP on its entry-level offerings. INTC is ok, however after recent gains I feel it's a bit overextended. Technically stronger than AMD. EGGS is a funny stock. TA-wise it's building a base. Minimizing losses. Was puzzled over the motive to invest in this company first - no profit, etc. But then I noticed they became a virtual company. That's the way to do it - I think. My valuation here definitely is PSR (Price to Sales) - EGGS is cheapest Internet stock with implied PSR of 2. Forget about profits for the time being. Look to other plays in this regard. AMTD or EGRP in the brokerage industry have PSR of 3-5. Others (GNET, eBAY) got multiples in excess of 15. So sales growth is what counts with EGGS. Good entry point from a candle TA-perspective now. Will look to Your other holdings when I got spare time. Sorry but my exam on Dec 14th requires attention and thus prevents me from analyzing everything now. best regards CROSSY