Hopefully this will work to communicate stock ideas, recommendations and suggestions between the two of us.
Tonight I heard on Cramer that he was negative on tech stocks. He said to sell almost all now and would re-buy in August. This was based on seasonal factors.
For the last two years, tech has been weak between Jan and Aug. However, in 2004, QCOM rose from $30 to $35. 1998 was another exception, QCOM rose from $2.80 to $3.85. And wouldn't everyone had hated to be out of QCOM in 1999 during this period. The shares skyrocketed from $4 to $20!
I think the good news is that the pendulum has completely shifted regarding technology. Loved beyond reason in 1999, they are now hated, despised and discarded.
For long term investors, many tech stocks represent excellent value as they sell at low relative PEs, with no debt, rising earnings, increading dividends and tremendous upside potential.Like 1999, 2007 may be a tech surprise year.
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