Technical analysis for shorts & longs Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Technical analysis for shorts & longs

SPY 691.72

-0.1%

Jan 16 4:00 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Johnny Canuck who wrote (24372)	11/14/1999 8:58:00 PM
From: Johnny Canuck	Read Replies (3) of 69835

Commentary on Chip and Chip Equip Stocks: Hot does not begin to describe these stocks. Applied Materials, a semiconductor equipment maker, had sales in the past 12 months of roughly $4 billion. Its market value is 10 times that figure. The Altera Corp., a maker of integrated circuits, is trading at approximately 16 times its $772 million in sales over the past 12 months. To put this run-up in perspective, during other booms for semiconductor makers, the stocks rarely traded higher than two times their sales. What strikes some as peculiar about the current stampede into semiconductor shares is that worldwide sales of chips are expected to rise just 14 percent this year over last. Moreover, a multitude of computer manufacturers and resellers -- IBM and Inacom, to name one of each -- have recently warned that the outlook for their businesses in the fourth quarter and beyond looks worrisome. Why are investors paying as much as 90 times earnings for companies whose futures depend on orders from computer makers who are singing the blues? nytimes.com

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next