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Technology Stocks : PSFT - Fiscal 1998 - Discussion for the next year -- Ignore unavailable to you. Want to Upgrade?

To: Chuzzlewit who wrote (3759)	11/29/1998 4:17:00 PM
From: LLCoolG	Respond to of 4509

Chuzzlewit, Your arrogance manifests itself in the ignorance of the market. Investors put money into stocks to generate a return on their investment. If you woend 20% of a compnany, then earnings (and dividends) would gove you a direct return. Howwver, for mere mortals who own miniscule amounts of stock in a commpany, if the demand for a stock increases, the price goes up. Basic economics 101. If you are investing and believe that you own a piece of the company itself, your assertion regarding paying for earnings is correct. However, the internet companies have such high "traditional" valuations, because nobody knows what their future holds, and nobody wants to miss out on the next big industry. Just like computer and software stocks have had tremendous runs the past 10 years, and the telephone and automobiles changed American lives forever, the Net may do the same. Say whatever you want about your ideas of "value" investing. Over time, you will probably do well. But market sentiment and money flows have quite a bit to do with return on investment--a lot more than you give it credit for. And it is obvious that you have not, and probably will not, ever understand it, or at least publicly state that you understand it. The fact is that e-commerce is here in a bi way for the first time this year, just like ERP was started in the early 1990's and had its heyday until this year. I really pity you, and am sorry that you feel that the net stocks are simple gambling. PSFT had the same short squeezes that the Net stocks had for a long time. From a return perspective, which is what really counts, it looks like you have been a rather poor investor the past 6 months on PSFT. But as Pink Floyd might say, "Confortably Numb", I am sure you are happy with yourself as a legend in your own mind. Oh, wait, the Pink Floyd reference will probably not be understood. Oh, well. As for me, I am pretty much out of the net stocks now, but the home run was certainly hit this past week. Although there are a few fat fastballs in the middle of the plate that I think I can still drive the opposite way for singles, IMO. Oops, those darn working-class metaphors again. Sorry, everyone else, for the off-topic banter. Look slike gc was correct again, though, and that needs to be stated. Regards, G