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Politics : Formerly About Applied Materials
AMAT 318.63-3.0%3:59 PM EST

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To: Dennis G. who wrote (4569)5/16/1997 12:34:00 AM
From: Ronald D. Engelkes   of 70976
 
<Is there something different now than in December?> < I have never shorted a stock before but I must admit that I am getting tempted>

AMAT will net $4 next year. They will grow at a compounded annual rate of 30+%. If you award AMAT a PE of 25 for the 30+% growth rate, how many years before AMAT breaks $200? (ans: <4yrs)

I've never shorted a stock before either. If I did, I would try to find one that didn't have a $1.5 billion backlog, and whose fundamentals were declining.

Good luck.
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