Joe Battipaglia: I can't believe this guy

Joe Battipaglia is now a PERMA BEAR, I am sick of seeing him of Kudlow and Co. has this guy ever been right? NO! I don't know if you remember him he was PERMA BULL of the Tech Implosion and for the entire bear market. He was always on TV. Mr. Battipaglia made 44 media appearances in the second half of 2000 alone, making 128 recommendations. Only ONE was actually a sell. He recommended the sale of Philip Morris on September 7, 2000. THAT WAS A GREAT CALL, EH?

I think he's trying different things to see if can get it right. He goes on CBS Marketwatch.com, below is an excerpt .

He now of Stifel Nicolaus says it doesn't matter what the Federal Reserve does with interest rates, "it still means the economy is going to go through a very rough period of time" that hasn't yet been reflected in the stock market. "I do see downside risk in stock prices of anywhere from 5-15% from current levels," says Battipaglia, "and that may evidence itself through December, or it may come on after we get through December." Battipaglia says he wouldn't be surprised if the powers-that-be decide next year that we're in a recession. "The real definition for us is when you have a marked slowdown in output and employment and consumption," he says, "and isn't that what we're going through right now?" This is the same Joker who was bullish all through the tech bubble, you believe this guy.

Here are some of his most famous calls:

December 1999: Joseph Battipaglia, market analyst
"Some fear a burst Internet bubble, but our analysis shows that Internet companies account for only 7% of the overall Nasdaq market cap but carry expected long-term growth rates twice those of other rapidly growing segments within tech." (The Internet Index lost two-thirds in the next six months.)


7/10/00-growth in corporate earnings will once again become the primary catalyst for lifting equity values. In this regard, I expect the higher earnings growth profile of the Nasdaq composite to deliver the best performance and provide leadership for the broader market.

7/17/00-The strongest growth category should remain technology with year-over-year gains in excess of 30 percent.

Fundamental conditions are such that profits for the second half and next year have the potential to remain well above the historic trend line.

I recommend that growth investors remain fully invested at this time. I am making no change in my year-end index targets of 12,500 on the Dow Jones Industrial Average, 1,650 on the S&P 500, and 5,500 on the Nasdaq composite index.

7/31/01-investor focus should to give way to greater investor enthusiasm as the potential for an extended profit cycle well into 2001.

8/21/00-Again, the fundamental conditions for a continued bull market remain very much intact

8/28/00-The next catalyst for higher equity prices should be strong earnings growth in the second half and the potential for an extended profit cycle well into 2001.

10/11/00-it is unlikely that the NASDAQ composite will reach my year-end target of 5,500. Therefore, I am reinstating my originally forecast target of 4,300 for the NASDAQ composite index by year-end.

I am leaving my S&P 500 and Dow targets at 1,625 and 12,500, respectively....analysts and investors will become increasingly comfortable with forecasts for top line growth, profitability and improving backlogs.

I see no significant threat to the ongoing expansion of the U.S. or global economies.

the balance sheets of households, government and corporations continue to show improvement as assets and income rise relative to obligations. At the same time, years of increased investment spending by corporations will have long lasting effects in raising productive capacity, efficiency and long run profitability for most companies.

10/23/00-My initial estimate of next years profit growth is for a 14 percent improvement in S&P 500 operating earnings over this year's....should help support rising equity prices.

I believe that the worst of the correction is now behind us and remain committed to my year-end targets of 4,300 on the NASDAQ composite, 1,625 on the S&P 500 and 12,500 on the Dow Jones Industrial Average.

10/30/00-Having reviewed the third quarter data, I am maintaining my 3 to 3 1/4 percent growth assumption for the U.S. economy in 2001 based on continued growth in consumption, rising investment spending by business, improved export business and growth overseas.

My earnings forecast remains for 14 percent growth in S&P 500 operating profits next year. I remain over-weighted in the following sectors: pharmaceuticals, financials, communication services and equipment, technology, and consumer cyclicals. I am making no adjustments to any index targets at this time. My year-end index targets remain 12,500 on the Dow Jones Industrial Average, 1,625 on the S&P 500, and 4,300 on the NASDAQ composite.

11/6/00-my forecast remains for relatively strong growth of 14 percent in operating earnings - somewhat higher than the annualized growth rate of the 1990's.

My year-end index targets remain 4,300 on the NASDAQ composite, 12,500 on the Dow Jones Industrial Average, and 1,625 on the S&P 500.

11/13/00-PC manufacturers are the most recent victims of these worries as competitive forces and margin pressures take their toll. This, however, is not indicative of an end to the spending cycle for technology.

11/20/00-Once the election decision is in place, the positive fundamentals will once again take center stage for investors.

12/4/00- I believe that the Federal Reserve will lower rates in the coming months as they did in 1995. One, perhaps two, 1/4 point rate cuts likely by the end of the first half of 2001

The environment for equity investors is favorable in light of lowered expectations on earnings that can easily be exceeded and my forecast for credit easing by the Federal Reserve. Valuations also have become more attractive when measured relative to their forward price to earnings ratios.

Accordingly, I am initiating my 2001 year-end price targets on the various indices as follows:

Dow Jones Industrial Average - 12,700

S&P 500 - 1,650

NASDAQ composite - 4,300

I expect to hear from a "kinder, more gentile" Federal Reserve board when it meets to discuss the future of monetary policy

to read them all to to: http://www.capitalstool.com/joe-battipaglia.htm