Arnie Berman Technology Quotations

nearly as dire as technology stock prices currently reflect.

The outsize rally in the publicly traded debt for companies in this sector suggests that the bond market is sending a signal that the communications equipment sub-sector is particularly attractive at present relative to other technology sub-sectors,

Companies in the technology sector are clearly overcapitalized and they are going to be increasingly forced by investors to make decisions about their cash,

A lot of the best news is associated with the PC industry. Intel has been not just a bellwether in the sense that it's big, but in the sense that technology as an industry has returned to positive year-over-year growth rates, and technology as an industry tends to be delivering more upside surprises than downside surprises these days. Intel started to do that earlier and more substantially than the rest of technology.

Technology stocks that were once valued on a price-to-possibilities basis are now valued as if history no longer matters,

Technology stocks were grossly oversold going into this. The recovery in fundamentals won't happen all at once, but it will get under way in the second quarter.

Any technology spending recovery follows a simple principle: things that are easiest to do without come back last,

The first quarter was so brutal for technology spending that even IBM missed the number and chose to lower the bar. But here you have an example of a company that's very big and whose results were not, in any respect, worse than expected.

How these companies sound isn't a terribly good basis for investing right now, ... The fact is that in an incremental cyclical recovery, capital spending will recover at a brisker pace than the overall recovery, and technology spending will recover at a faster rate than capital spending.

The latter stage of an economic recovery, where head count is rising and productivity is starting to fall, is the best for technology spending, and that's where we will be in 2006. Business leaders start thinking more about technology and less about questions like capacity expansion or how long the recovery will last.