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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: player who wrote (69698)	12/10/1998 3:41:00 PM
From: Tony Viola	Respond to of 186894

<<<INTC is way over-valued now. Based on the forward-looking PE, it should be around 100-105.>>> Fine, could you also tell us what MSFT, CSCO, DELL, AMZN, SUNW, RMBS, AMD, NSM and YHOO should sell at? Thanx.

To: player who wrote (69698)	12/10/1998 3:43:00 PM
From: Ibexx	Read Replies (1) \| Respond to of 186894

player, Re. INTC is way over-valued now. Based on the forward-looking PE, it should be around 100-105. In October you posted that MSFT would be a good buy under $100, yet today, MSFT made a new high at $134 5/8. I shall use the above to calibrate your opinions. Regards, Ibexx

To: player who wrote (69698)	12/10/1998 3:56:00 PM
From: Burt Masnick	Read Replies (1) \| Respond to of 186894

It is very fortunate that there is large scale short selling in INTC. That is an unstable configuration - growing sales and profits mixed with heavy short selling - because when the price goes up the short sellers must buy and when the stock goes down the short sellers will buy. In other words, lots of shares now have to be bought that would never have gone to those hands in the first place. Does the phrase short squeeze (in the case where the stock goes up and the short sellers get forced to buy or face ruinous losses) seem a possibility? Fundamentals much worse for Amazon (where are the profits?), AOL (my what small profits), and a host of internet stocks (that will probably never see profits). But the shrewd short sellers of these issues are bleeding red blood and green money so far. Big time. Because there is a shortage of these stocks relative to the supply demand situation and, just a thought for your PE argument - Intel is beginning to be regarded as an internet play on the street. People can make money with shorts. However, the universe of successful short players is considerably smaller than the universe of current and former (ruined) short players. If I were inclined to go short I would be much more comfortable selling calls (you get the premium and if you're right you'll never get called and you can do it again in 6 months if you still feel the same way). I personally have done shorts early in my investing career and I learned that you have to be right two ways. Your fundamental reasoning must be correct and your timing must be impeccable. I have found that for me that's not that way to go, but I wish you the best of luck. Good investing to all, Burt