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

To: paul feldman who wrote (4387)	1/28/1999 8:22:00 PM
From: Albert Youssef	Respond to of 4509

You can always get out. Regardless of your entry price or the size of your position, you really have to evaluate the stock the same way. Your cost should basically be irrelevant. What matters is this: whether your position is worth 2,000 or 200K today, you have to ask yourself (objectively) what is the best place for that money. If this is it, then hold. If not, sell and put your money elsewhere. Otherwise, the tendency might be to sell your winners (from fear of losing the gains) and cling to the losers (from unwillingness to realize a loss). Unfortunately, I have done this in the past and have always regretted it later. Besides, it's not like you'd be taking huge gains and screwing your taxes up! I can't say I am comfortable with the report. Especially with the 1Q outlook, and the "restatement" piece (even if, as Melissa M. pointed out, this is common with recent accting rule changes and isn't so bad. To me, it's still a negative). Missing estimates by 1 cent (6%), while obviously not good, isn't the big deal for me. On the other side, when a company cuts headcount for the first time, usually it isn't the cream of the crop that's getting cut. That, sadly enough, is good news for shareholders. Unless morale at the company turns so negative that there's an exodus of talent. PSFT has historically been a great company and I'm hoping it can get its act together and recover. I don't expect it to happen in the next 3-6 months, but for now, I'm think I'm willing to wait things out with my modest holding in this company. I'd be somewhat surprised if it was up tomorrow.