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Pastimes : Clown-Free Zone... sorry, no clowns allowed

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To: UnBelievable who wrote (50512)12/24/2000 3:49:38 PM
From: John Lacelle  Read Replies (2) of 436258
 
Un,

The only problem I have is that you are using KO as
an example of an Efficient Market. According to the
old rules of the game, P/E should be roughly equal to
estimated earnings growth for next year. This stock
should be selling for about 10-20% of what it now.
An efficient market would price this stock out to a
reasonable level, not the irrationally exhuberant ones
that we have seen over the past few years.

-John
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