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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: James Clarke who wrote (5413)	12/11/1998 6:07:00 PM
From: MCsweet	Respond to of 78717

Capstead Mortgage (CMO) Stock was up 33% today from 3 to 4 on news that CMO is selling its mortgage banking portfolio to GMAC Mortgage for $550 million. biz.yahoo.com With book value around $8.00 (market cap of $250 million), I think there is room for much more appreciation. Stock price was below book value due to leverage and lack of liquidity (potential bankruptcy bait), but this sale should help allay those fears. I bought some before the close today. Of course, I would suggest anyone else interested to do a lot of research before buying --- these mortgage companies can be tricky. MC

To: James Clarke who wrote (5413)	12/11/1998 10:06:00 PM
From: Investor2	Respond to of 78717

RE: "The S&P 500 closed higher, but virtually every stock I follow was down, some quite significantly. Are others seeing the same thing?" It's funny how that works, isn't it? My stocks are nearly all up today. My only stocks that went down are K and MOT, which were down less than 1%. DBD and ADPT went up 6% and 10%, with the rest of my stocks coming through with "moderate" gains of up to 3%. Best wishes, I2

To: James Clarke who wrote (5413)	12/13/1998 1:08:00 PM
From: Freedom Fighter	Respond to of 78717

>>Today felt ominously like July. The S&P 500 closed higher, but virtually every stock I follow was down, some quite significantly. Are others seeing the same thing?<< It seems to me that the overall market is very weak on the fundamentals. The earnings warnings are really starting to pile up among big name blue chips and the broader market doesn't feel healthy. On the flip side the Fed has engineered a further expansion of the financial asset bubble by lowering rates. There is a ton of money out there. It has to go somewhere and techs are getting most of it right now because they haven't disappointed yet. That's why the S&P500 and Nasdaq are outperforming. It's my view that when this period is finally over, Alan Greenspan will have a much different reputation than he currently sports. That is of course unless he manages to pass the mess he has created to his poor successor. He has repeatedly flooded the system with money every time there was an attempt by the system to remove the excesses through market forces. Wall St. loves it. The public and much of the media doesn't understand it. The bubble is now so big that its deflation threatens the REAL economy and the financial future of millions of Americans who own overvalued securities by historic standards. There may be some values out there, but there are few among S&P500 stocks and the middle class is a net indexer! Thanks Alan! You made us feel great for a bunch of years. Unfortunately, drunken parties usually end up with either an accident or a hangover. Wayne Crimi members.aol.com

To: James Clarke who wrote (5413)	12/14/1998 1:47:00 PM
From: Paul Senior	Read Replies (3) \| Respond to of 78717

re:"Today felt ominously like July." Yes, it did the day you posted this and more so over the past couple of days. Yes, there's a lot of red ink on my screen. And it is scary. But, so what? (IMO -g-). Since we're value investors here,we buy stocks that are undervalued with some margin of safety and sell when they become fully valued. That's it. -g-. We don't need to Crimi it though. That we "feel" stocks are overvalued, or we "feel" that things are going to get worse, or we "think" that Greenspan is a turkey -- acting on these feelings destroys the value investing methodology --- That's my feeling anyway -g-. Paul.