Bargains still exist in stocks

The Ticker

February 16, 2000|By Julius Westheimer

ARE YOU avoiding value stocks because they're underperforming high-techs? "Value investing hasn't paid off the way it used to," says Kiplinger's Personal Adviser. "Investors ignored solid earnings in favor of fast-growing technology companies. But true bargains are underpriced businesses now on the mend. There is still money to be made in undervalued stocks."

It suggests considering these stocks: Unisys Corp., Delphi Automotive Systems Corp., Comdisco Inc., Devon Energy Corp. and TJX Companies Corp.

"The longer high-tech stocks ignore interest rates, the higher rates must go to have an impact. The higher rates go, the greater the danger that sentiment will change abruptly. Then we'll certainly know we had a bubble -- because it will have well and truly burst." (Fortune)

WALL STREET WATCH: "Regarding election years, there has been only one `down' election year out of 12 since 1950. That's a 92 percent batting average. We like the odds." (Todd Market Forecast)

"The technology-dependent market of recent years may not be a `bubble mania mentality.' Rather, the market may simply reflect increasing dependence of economic growth on technology." (Wells Capital Management Perspective)

"Keep your eyes on business results of companies whose stock you're considering, not market prices. That's what counts in the long run." (Better Investing)

"Technology companies will dominate again this year, but don't expect every stock to soar as high-techs did in 1999." (Linda Killian, mutual fund portfolio manager)

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