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Technology Stocks : MSFT Internet Explorer vs. NSCP Navigator

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To: damniseedemons who wrote (2761)11/7/1996 12:18:00 AM
From: Gerald R. Lampton   of 24154
 
>INTC(W): Depite the recent runup, Intel is STILL *UNDERVALUED*!!! No
>joke, the stock deserves a far greater valuation than its current S&P average
>multiples. For such a leading company, it deserves much more than the "average"
>stock.

Like, where do you get off? I guess you weren't around in the early '80's.

Intel, for all its greatness, is still a CYCLICAL stock. Right now we are at the peak of the cycle. Just wait 'till the next recession (which, with Clinton safely reelected, can't be too far away). On a cyclical stock at the peak of its cycle the PE SHOULD be low.

I like Intel, too, but I buy it in small doses, becaue I want to see it go through a full economic cycle, including the part where the economy is flat on its back and markets are so glutted with chips they can't GIVE them away.
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