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Technology Stocks : Lucent Technologies (LU) -- Ignore unavailable to you. Want to Upgrade?

To: Diamond Jim who wrote (6065)	2/5/1999 4:21:00 PM
From: William Hunt	Respond to of 21876

THREAD ---Some positive comments to keep everthing in context : Lucent Technologies Inc. Dow Jones Newswires -- February 5, 1999 Tech Sell-Off, 'Easy Come, Easy Go,' Strategist Kugel Says NEW YORK (Dow Jones)--"Easy come, easy go." That's how Al Kugel, senior investment strategist at Stein Roe & Farnham, describes the recent fall of technology stocks. Kugel also told CNBC Friday the sell-off should be placed in context. The sector had a great fourth quarter and January, and traders are loaded with profits. "It only takes a rumor or some small event like the AMD (Advanced Micro Devices Inc.) announcement to trigger off some profit taking," Kugel explained. As reported Thursday, chip maker Advanced Micro Devices said it will post a first-quarter operating loss due to price competition with resurgent Intel Corp. (INTC). But bad Advanced Micro Devices news isn't reason to abandon all hope for tech, Kugel said. "I don't think that means the whole sector is under pressure." Price drops in semiconductors, for example, could lead to stronger personal computer sales. "I don't see anything fundamental unraveling in tech land in total," Kugel added. While profit-taking runs its course among tech stocks, it's a different story among Internet-related investments. Kugel compared the current Internet industry to autos earlier this century when 30 car companies littered the U.S. market. Three companies survived. In five to 10 years, Kugel estimated only a few Internet-related companies will dominate. "That's where you put your track money. Not your retirement money," Kugel said. His stocks picks, or "four horsemen," are Dell Computer Corp. (DELL), Microsoft Corp. (MSFT), Cisco Systems Inc. (CSCO) and Lucent Technologies Inc. (LU). BEST WISHES BILL