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Technology Stocks : JDS Uniphase (JDSU)

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To: Hank Stamper who wrote (430)6/29/1999 11:21:00 AM
From: Kayaker   of 24042
 
The price earnings multiple for this company is unreasonably high. I checked a few minutes ago and at a share price of 115 the p/e for JDS was 112.94.

I don't pay much attention to PEs. The PE is based on past growth. Imagine 2 companies, both with a PE of 100. One is expected to grow at a rate of 10% a year and the other is expected to grow at 50% a year. The PE doesn't tell you which is the better investment. Look at QCOM. The PE is now 384, but IMHO it doesn't mean a whole lot. I look at the PEG (PE over the growth rate). Just my 2¢.
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