SI
SI
discoversearch

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.
Technology Stocks : Optimal Robotics Corp. (OPMR)

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: J_W who wrote (144)1/24/2000 9:52:00 AM
From: Stu Bishop  Read Replies (1) of 325
 
Hi Jim,

Thanks for the earnings estimate.

I agree with you guys that there is much more than earnings to consider when valuing an investment. Still, I need a price target in order to know what to do with this one: buy sell, or hold.

There are several approaches to calculating value, and one that comes to mind is to use a P/E equal to the long term growth estimate. I've seen a 50% estimate, though they are obviously growing much faster than that now. Using a P/E of 50 on earnings of $0.88 gives a price target of $44. If we compare the 2001 estimate of $0.88 to the 2000 estimate of $0.49, we see there is expected earnings growth of 80%. If we take this as a P/E of 80 on earnings of $0.88, the price target is $70.

Anybody else have a price target, using their preferred method, they'd like to share? I'd like to see if we can come to a consensus. At least we can get an arithmetic average of our estimates.

Thanks, and best of luck.

SPB
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext