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

To: Jorj X Mckie who wrote (6338)	2/20/1999 7:13:00 PM
From: Haim R. Branisteanu	Read Replies (3) \| Respond to of 21876

Jorj, CSCO is a speculative stock in a way similar to YHOO or EBAY or AMZN etc. who are Mania stocks. NT is an overpriced stock at 1999 26 P/E and LU is close to a speculative stock at 1999 38 P/E even that it is not in the same class of speculation as those running up CSCO, but close. IMHO opinion at 5.25% interest rate and with 20% earning growth potential and I repeat potential earnings growth, LU should trade around $55 to $65 and NT around $45 to $55. CSCO about the same $$ level. All the mumbo jambo of new era and discounting growth is a joke. It is a WS BS to sell stock to the naive "long term investor". Just remember were IBM was in 1987 (180 pre split as was DEC)not to repeat the other examples such as RCA who had a iron fist on the Radio and TV market 40 to 50 years ago. Message 7932050 Just remember in this market valuation do not count only momentum. LU may regain it's momentum who knows, but buying and holding at present prices is insane. The donwside risk is almost twice than the anticipated upside potential. If LU returns to mean of $50 you lose $53. If LU moves forward as predicted to $125- $130 you make $22 to $25. Therefore buying LU at those prices and hold, it is not worth the risk. BWDIK Haim