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Stock picks of the week
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December 11, 1999: 9:21 a.m. ET
Redback Networks, Broadcom, Yahoo!, Telmex singled out
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NEW YORK (CNNfn) - A host of technology and Internet-related stocks as well as several international stocks were seen as good buys by stock pickers appearing on CNNfn this week.
Here's a rundown of their recommendations, culled from CNNfn.com's daily feature, "Stock Picks by the Pros."
On Friday, Mona Eraiba, semiconductor analyst, Gruntal & Co., said she was "very positive [about] the whole group. [Among] the bigger names, we're looking at are; Motorola (MOT), Texas Instruments (TXN), Micron (MU), Intel (INTC), LSI Logic (LSI), which is a custom chip supplier. And among the smaller, National Semiconductor (NSM), of course. We're also looking at Burr-Brown (BBRC), Integrated Device Technology (IDTI), Cypress (CY). We're pretty positive about the key players, because they really did their homework during the downturn. They repositioned their product lines and so the [necessary] leverage is there; with the industry improving, they’ll be able to capitalize on what's happening.”
Click here for more Friday picks.
On Thursday, Dennis McKechnie, portfolio manager, Pimco, warned that, "if a company is not aggressive about making use of technology,” then "technology is helping their competition, and technology is the winner of that game every time.”
Redback Networks (RBAK) and Juniper Networks (JNPR) are two tech stocks that McKechnie is particularly happy with and said "We own a handful of [broadband services-related stocks] because we see a lot of great fundamentals out of there. We also own companies like Broadcom (BRCM) that are doing extremely well. We all want data to our home an to our office a lot faster than it came yesterday, so it’s a great theme.”
To read more Thursday picks, click here.
On Wednesday, Peggy Ledvina, Internet analyst, Dain Rauscher Wessel, said leaders in the Web industry such as Yahoo! (YHOO) are judged by different rules than traditional companies. "Because they so dominate their category, they justify price-earnings ratio of as much as 90 when other types of companies are seen as overpriced at 20.”
As a result, Ledvina believes investors should keep the Web portal for the long haul. "Clearly, the institutions that jumped in here are still looking at this as a long-term play,” she said. "We view it as a long-term play. Certainly, they are the leader in the space when it comes to the pure media play portal sites.”
Ledvina said others in this class of issue include
online-service provider America Online (AOL) and the auction-site operator eBay (EBAY). "We look for the category killers in each spot and we tend to give them a premium,” she said.
Browse through more Wednesday picks.
On Tuesday, Jorge Suarez, president of AFIN
Securities International, recommended looking south of the border for those investors seeking profits from non-U.S. companies.
"Mexican companies - the largest Mexican companies, are not Mexican. They’re international companies. If you look at Telmex (TMX) (Telefonos de Mexico) this side of the border, if you look at their partnership with Prodigy (PRGY); if you look at what Televisa (TV) has done in the Spanish media in the United States -- at the end of the day, the evaluations of companies between Mexico and the United States should in some cases be pretty similar.”
But, instead leading Latin firms have usually been compared with their emerging market peers.
"If you compare, for instance, Telmex with Telefonica de Argentina (TAR) or with CANTV (VNT), it appears pricey. But if you compare TelMex with, for instance, Cable & Wireless (CWP), it looks like a company that has a much better cash flow and that it is much better priced. So I think that it still has room to go up in price.”
To read more Tuesday stock picks, click here.
On Monday, Larry Rice, chief investment officer, Josephthal, admitted, "I like to bottom fish, [I’ve] made most of my profits, historically, buying out-of-favor stocks. And in this type of market environment, out-of-favor stocks tend to stay out-of-favor. We like Disney (DIS) at these levels. The stock’s been acting a touch better here. If it could change the name to Disney.com, it would double in price. I think they are moving in that direction.”
Check out more Monday picks by clicking here.
The views presented here are solely those of the analysts quoted. They do not represent the opinions of CNNfn on whether to buy or sell shares of a particular stock. 
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