3/9/2000 CBS Evening News
First Nasdaq close above 5000
Al Goldman, chief market strategist, A.G. Edwards: "It just points out that the market is very smart; it's allocated its assets to the most dynamic part of the economy, and that's technology and the Internet.... People want to go where the action is and they're willing to pay to play. And up up and away for the Nasdaq and we think it's going substantially higher."
The next day the Nasdaq peaked, two points higher.
3/9/2000 Nightly Business Report
Joseph Battipaglia, chief investment strategist, Gruntal & Co.: "The divergence we're seeing, I think, is a healthy one because it tells me that investors are being rational about their judgement. They're going where the earnings growth is the fastest, where the best opportunities lie ..."
Joe forecast Nasdaq 6000 by year end. What would he buy? "Well, certainly in technology land, Intel, Microsoft, Cisco are no-brainers."
No-brainers indeed, as these stocks are down an average of 61% as of April 6.
3/10/2000 Wall $treet Week with Louis Rukeyser
Lou's guest was "new economy" portfolio manager Robert Loest.
Lou: "Do you think that the Internet will be the leader for the next year as it has been for the last?"
Bob: "I do, and many years to follow."
Lou: "And do you think that those who haven't gotten on the game should get on it as soon as possible?"
Bob: "Lou, I think the one big mistake you can make in this market is to worry about how much a stock has gone up instead of just worrying about getting into it."
This exchange came one day after the TSC Internet Index hit its peak. Since then the Index is down 85%.
3/23/2000 The Wall Street Journal
Ed Keon of Prudential Securities: "We do think that some of these stocks like Qualcomm are firms for which you are paying a very high price. But with their technology and their business model, the valuation will be justified and may even appear to be a bargain."
No bargain yet -- since then, Qualcomm's stock has plunged 69%.
4/4/2000 Nightly Business Report
Mary Farrell, investment strategist of PaineWebber and Wall $treet Week with Louis Rukeyser "Hall of Fame" member: "I also think that when you go back to fundamentals, the Ciscos, the Oracles, Motorolas, these are good-quality companies and investors want to own them and they offer good value at these levels, so I think we'll see them doing OK."
Apparently an average loss of 73% is "OK." By the way, in January 2001 Ms. Farrell's year-end forecast for the Nasdaq was 4600. Thank you PaineWebber.
4/4/2000 NBC Nightly News
Wayne Angell, chief economist, Bear Stearns: "I would expect the Nasdaq to end the year 15 to 25% higher than at the beginning of they year."
How about 39% lower?
4/5/2000 NBC Nightly News
Jonathan Satovsky, American Express financial advisor, on Internet stocks: "This dip is an opportunity to buy these companies at a price that they may never be able to buy them over the next five years. They could potentially skyrocket tenfold from here."
Since then the Internet Index has plummeted 80%.
6/5/2000 Nightly Business Report
Tom Galvin, chief investment officer, Donaldson Lufkin & Jenrette: "I think we'll be looking at a market 15% higher for the S&P 500 by Christmas and I think the Nasdaq back above new highs."
Hmmmm ... let's try down 11% for the S&P 500 and the Nasdaq more than 50% off its highs.
8/18/2000 Wall $treet Week with Louis Rukeyser
Roger McNamee of Integral Capital Partners: "I think Amazon.com, for example, is a stock that will do very well from here.... I agree that Cisco is a great name; PMC Sierra is another great name."
Since then, these three stocks have been blasted for an average loss of 83%.
10/20/2000 Wall $treet Week with Louis Rukeyser
Lou's guest was portfolio manager Jeff Van Harte, whose three favorite stocks and largest holdings in his fund were EMC Corp., Charles Schwab, and Palm Computing. Mr. Van Harte described these companies as business "masterpieces." Perhaps the curators are now checking for possible forgeries, as these three stocks have since declined an average of 71%.
11/10/2000 Nightly Business Report
Arthur Hogan, chief market analyst of Jefferies & Co. recommended Cisco, saying, "It's at the $50 level right now and always does well bouncing off of that."
Maybe it will do better bouncing off of $15.
