Hartco Inc HCIZF

Big Tech -Off

[lamystique]

November 25, 2000. Micro-cap techs set to move higher Mark Johnson, Editor of the Internet Financial Connection, provides the following interview with Thomas Barry of the Bjurman Micro-Cap Growth Fund (800-227-7264). Below is the write-up. Have the technology doldrums knocked your investment portfolio for a loop? If you've held on to anything related to the technology area over the last year, you probably answered yes to the question. According to Thomas Barry of the Bjurman Micro-Cap Growth Fund, the current market correction reminds him of previous corrections in 1996 and 1998. He adds that each market correction created a "tremendous buying opportunity," especially in the micro-cap area. Barry believes the tech sector, and the high-growth stocks in particular, are ripe for a "huge bounce." The Bjurman Micro-Cap Growth Fund has survived the recent downturn in the market with flying colors. The fund has returned 44 percent year-to-date, and sports a three-year annualized return of over 34 percent, along with a "Five-Star" rating from Morningstar. The technology sector is one area this pro highly admires Barry explains that his fund tends to invest in companies that are growing faster than their peers, while having a relatively low price-to-earnings ratio versus their earnings growth rate. The Bjurman Micro-Cap Growth Fund uses a rigorous stock selection approach and screens over 1,300 companies each week. Barry adds that he is not afraid to sell a holding if something goes wrong. "If one of our holdings does not do what we expect it to do, we're out of it," he says. The technology sector is one area this pro highly admires. In light of the recent downturn in the tech sector, he notes that many technology stocks have become "very undervalued" relative to their high growth rates. Barry admits his fund is likely to increase its exposure to the tech sector. One technology company Barry likes a lot is Merix (MERX 24 3/8). The company manufacturers advanced circuit boards for the communications computer and test measurement industries. Merix's client list sports several industry heavyweights including: Intel, Cisco, Nortel, Hewlett-Packard and Lucent. "The interesting thing about Merix is that the company is likely to grow earnings at a 50-percent annual rate over the next three to five years. Yet, their stock is trading at 13 times next year's estimated earnings of $2.27."