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Technology Stocks : MSFT Internet Explorer vs. NSCP Navigator

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To: Jim Ash who wrote (345)7/21/1996 11:25:00 AM
From: Jeffrey Boggis   of 24154
 
Friday Morning (July 19, 1996): MICROSOFT CORP. (MSFT) 119 -7/8. Stock giving up some ground today, but issue
has made quite a comeback after falling below $110 per share earlier in the week. And
while issue is very favorably looked upon, stock appears to be fully valued trading
at 38 times trailing earnings, above its historical trend of 28 times earnings. Yet,
investors are confident to hold the stock at current levels as company prepares to
release fiscal 4th qtr results of $0.85 per share on Monday. In the year-ago period,
company earned $0.63 per share. And traditionally, company has had a habit of beating
estimates and this is giving investors some confidence that issue will be able to hold up,
despite higher multiple. Go Microsoft!
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