Thursday, January 25, 2007
Sector Spotlight: Semiconductors
One of my longshot tech holdings, NETL, is gapping higher today-- after reporting good earnings. Additionally, earnings reports from LMT, EBAY, TRID and QCOM are causing their shares to rise-- especially EBAY and TRID.
My point: Earnings season has been very good, so far. The catalyst to sell stocks is just not compelling.
Aside from stocks being up, why in the world should I sell my stocks? Wait, don't answer, it's because the housing bubble and how much less money I have to buy stuff, right?
Well, I have never taken equity out of my house, despite it doubling in value over the last 4 years. Moreover, my new obnoxious spending habits is driven by my fucking brilliant stocks gains.
Bottom line: The appreciation in equities, worldwide, is more than making up for the housing slowdown. Keep in mind, as 401k's increase in value, people can borrow against it-- instead of getting jerked around by some mortgage broker.
Aside from that, I really like the action in the Semi's. Being the most heavily shorted sector, I feel they are due for a major run here- as quarterly earnings subdue the asshat shortseller.
Furthermore, following the great CTXS quarter, the Software sector looks ripe for trade too. There I like ARBA, DRIV, ADBE and SMSI.
The following Semi's have mojo:
TRID +15.7%
NETL +12%
IBIS +8.3%
ISIL +6.8%
DIOD +6.3%
BRCM +5.4%
NSM +4.5%
My point: Earnings season has been very good, so far. The catalyst to sell stocks is just not compelling.
Aside from stocks being up, why in the world should I sell my stocks? Wait, don't answer, it's because the housing bubble and how much less money I have to buy stuff, right?
Well, I have never taken equity out of my house, despite it doubling in value over the last 4 years. Moreover, my new obnoxious spending habits is driven by my fucking brilliant stocks gains.
Bottom line: The appreciation in equities, worldwide, is more than making up for the housing slowdown. Keep in mind, as 401k's increase in value, people can borrow against it-- instead of getting jerked around by some mortgage broker.
Aside from that, I really like the action in the Semi's. Being the most heavily shorted sector, I feel they are due for a major run here- as quarterly earnings subdue the asshat shortseller.
Furthermore, following the great CTXS quarter, the Software sector looks ripe for trade too. There I like ARBA, DRIV, ADBE and SMSI.
The following Semi's have mojo:
TRID +15.7%
NETL +12%
IBIS +8.3%
ISIL +6.8%
DIOD +6.3%
BRCM +5.4%
NSM +4.5%
