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Technology Stocks : LSI Corporation -- Ignore unavailable to you. Want to Upgrade?

To: uu who wrote (18197)	4/21/1999 9:18:00 PM
From: sea_biscuit	Read Replies (1) \| Respond to of 25814

Addi, It is not just Ms. Klauer. Take a look at the following: biz.yahoo.com When LSI was in the low 20's 3 months ago, only 2 analysts had rated it as "Strong Buy", while 14 analysts had a "Hold" i.e. "Sell" rating. Fast forward to today, and lo! -- surprise, surprise! -- as many as 10 analysts have it as "strong buy", after the stock has moved into the mid and high-30's! And I read here that Fidelity and other mutual fund bigwigs have quietly loaded up on LSI late last year! IMO, most of these analysts' ratings are about as useful as (to borrow an apt phrase from Senator Tom Harkin) a "pile of dung". If they do seem to be right sometimes, it is only because of all those momentum investors, who get interested in a stock once it starts moving up.

To: uu who wrote (18197)	4/21/1999 11:23:00 PM
From: Mark The Trader	Read Replies (1) \| Respond to of 25814

Addi, As you know I work for a large Mutual fund Institution. To sum it all up , most Analysts are like sheep , or as CNBC puts it , like Penguins jumping in the water. Very few analysts will put a buy recommendation on stocks that are out of favor , but man do they love them when they are in favor . The opposite usually goes for sell rec's Why do you think AOL and the rest of the Internet stocks continue to go up , who cares about valuation !!! and earnings !! Its the same mentality in how the majority of Institutions Invest. Ever wonder why Money flow is so important , well new money that flows into Institutions has to be invested immediately . When we crashed in October there was a huge outflow of $$$ from some of our clients. Large negative money flow. Its the same when it comes to purchasing stocks , most money managers dont like to buy out of favor - sectors or stocks. Anyway I know you have that $ 70 price target , do you self a favor Don't get blindsided if momentum and sentiment changes before on the way up . For the record , I still like the stock , but the market concerns me . Mark

To: uu who wrote (18197)	4/22/1999 1:14:00 AM
From: Samuel R Orr	Respond to of 25814

Addi, No. You couldn't be an analyst. You appear to have too much integrity, which disqualifies you from the profession. The real problem with analysts is that too many people either believe them or act on their forecasts. To be totally fair to them, momentum players don't buy when a stock is cheap, undervalued, and out of favor. They buy when the stock is moving up, no matter the valuation, PE ratio, or product line, and often continue buying after the stock becomes badly overvalued. However, like icebergs, analysts sometimes are able to make their own climate. LSI wasn't a bargain at $11, but is a good buy at $36. That makes sense to me! Read a little George Orwell and you'll come around. Keep the faith. Sam Orr