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Technology Stocks : Oracle Corporation (ORCL)
ORCL 198.80-5.6%Nov 21 9:30 AM EST

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To: wbASSETt who wrote (10353)4/7/1999 8:12:00 AM
From: MeDroogies  Read Replies (1) of 19079
 
Actually, YHOO and AOL both have earnings. Not enough (yet) to justify their valuations, but they do have earnings.
I think one thing that needs consideration in that chart is the growth of revenues, at least at YHOO and AOL. Their revenues are growing at an incredible clip. Earnings will continue to climb as they begin to open up larger margins on these revenues. Also, both firms have shown their commitment to growth in the field of interactive (and mainstream) media.
While it is hard to make a justification for their sky-high prices, it is evident that they are working hard to try and justify them.
ORCL, on the other hand, is in a solid business with a solid future. It, too, has a share price that isn't justified, but in the other direction. I understand the reaction people are having to the earnings report. But missing earnings by a penny is a bad thing? That is the most ridiculous thing I've heard. We have become too accustomed to companies underestimating earnings and giving upside surprises. ORCL is a bastion of solid business practice, if you ask me.
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