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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Dale J. who wrote (13368)	1/13/1999 12:20:00 AM
From: Charles Tutt	Read Replies (2) \| Respond to of 64865

INTC may be headed for the enterprise market, but IMHO they'll be doing it with Sun's Solaris. As for hardware, Sun has competed with the X86 camp pretty much from the day they started the company, so competition is really nothing new to them. As I recall, Scott McNealy said (when asked about splits at the most recent shareholders' meeting) that the management and board normally begin considering a split any time the stock goes (and stays for some period of time) above 50. That's not to say they'll conclude one is appropriate -- just that one will be considered. I would rather prefer they not split the stock this time; the anticipation may (will probably) be better than the fact. Splits don't increase my % of the company one bit; I'm generally more excited about buybacks. I think INTC's earnings will restore confidence in tech stocks generally, SUNW included. The recent news items regarding improvements in Asia won't hurt, either. Sun's newly announced five nines systems and the Jini announcements are both significant IMHO. But that's JMHO.

To: Dale J. who wrote (13368)	1/13/1999 12:23:00 AM
From: QwikSand	Read Replies (1) \| Respond to of 64865

Do you think INTC blowout earnings will cause investors to be concerned about SUNW? You do know INTC is headed for the enterprise market? I can't speak for Addi, but I will presume to give my own answer to your question. My observation has not so much to do with market conditions as it does with the sophomoric rhetorical tricks that you like to play. For example, the above quote from your last message. Fact: Intel had blowout earnings. Fact: Intel is "headed for" the enterprise market. Non-fact: Intel's blowout earnings had something to do with the enterprise market. (The truth is that Intel owes its blowout to an explosion of cheap PC's). Put all three together and investors should be concerned about SUNW...if they were all facts. But see, Dale, the stool falls over, because one of the legs isn't really there. If you want to confuse clueless people, try the Yahoo board. The real component of Intel's enterprise program today is a software simulation of a nonexistent chip. It'll be that way for two years. But hey, how 'bout that Pentium III? If you thought Heretic and Tomb Raider rocked out on a Pentium II, wait till you see how many different angles the Katmai New Instructions can light up a monster from! Intel will clean up with that baby. "Johnny, what are you doing in there?" Did you see the current Business Week? Actually though, I am concerned about SUNW's biggest problem in the enterprise. It's called keeping up with demand. Regards, --QwikSand

To: Dale J. who wrote (13368)	1/13/1999 12:25:00 AM
From: David Evans	Read Replies (1) \| Respond to of 64865

>>Do you think INTC blowout earnings will cause investors to be concerned about SUNW? You do know INTC is headed for the enterprise market?<< I would expect the opposite. Even thought Intel is aiming for the enterprise market, they are still far short of it, with Xeon servers still only going at best 8 way. (I don't think they are even there yet, but I haven't checked lately, so don't demand my head on a plate if I'm wrong) I think the numbers from intel and seagate show good strength overall in the hardware area. The only thing that concerns me is in the short term since Sun reported so early on that they would only meet expectations. Long term, they are heading into all the right areas with storage, java/jini, telcom solutions etc. I am hoping to purchase more on any significant dips. Dave

To: Dale J. who wrote (13368)	1/13/1999 1:38:00 AM
From: uu	Read Replies (1) \| Respond to of 64865

Dear Dale: My good friend, how are you doing? Hope you are not too deepressed with all the losses in your short position of SUNW at $68/shr. Are you still short SUNW, or did you short more at $93? Are you planning to short more? How is your short position of ORCL at $35/shr going? Are you planning to short more of ORCL? In any event, you state: > What makes you think the stock will stay in the 90's. Well, I guess my reasons are the same reasons that tells me there is absolutely no way on earth, heaven (or hell for that matter) that you will see SUNW in the $60's again, unless the board of directors decide not to do a 2-1 split till SUNW hits $120/shr! You ask: > Do you think INTC blowout earnings will cause investors to be concerned about SUNW? Well let me do the following Q&A! Q: What does INTC manufacture? A: Chips used in building PCs Q: How well did Intel's earnings do? A: Great! In fact it beat the most optimistic numbers! Q: Who buys from Intel? A: PC makers such as DELL, Compaq, Gateway 2000, Joe's PC factory shop, etc. Q: What does Intel's great earnings report translate into? A: That PC makers such as Compaq are facing an extra ordinary demand for their PCs, especially since they started selling directly to the regular consumer market. Q: Why PC makers (such as DELL and Compaq) selling directly to the consumers are facing this huge demand for PCs? A: In addition to the huge growth in the ecommerce, regular consumers are dying to be connected to the internet and since they can not do it in any other way but via PCs, the demand for PCs has risen dramatically. Q: What does this desire to be connected to the internet mean? A: In short the internet computing model via thin client/server centric architecture is growing explosively. Q: In this new server centric architecture model who gains the most with the highest profit margins? A: Those that make the servers. Q: Who is leading in the server marker? A: Sun Microsystems. But it really does not matter. All server makers are facing huge demands for their servers. Q: What can we conclude? A: That Sun Microsystems will have a blow out quarter, and hence the current valuation of the stock continues to be extremely cheap. Q: What should SUNW longs do at this time? A: Just relax, sit back and take advantage of any dip to buy more of SUNW shares at these prices. Q: What should SUNW shorts do at this time? A: If they have not covered yet, they should start praying to God to send them the wisdom to give them the power to overcome their egos and cover as soon as and as quickly as possible before they lose everything they have! I hope this Q&A session answered all your questions and concerns. Regards, Addi Jamshidi