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Technology Stocks : Intel Corporation (INTC)
INTC 40.51-7.4%Dec 4 3:59 PM EST

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To: Harry Landsiedel who wrote (105466)7/11/2000 3:54:36 PM
From: Paul Engel  Read Replies (1) of 186894
 
Harry - Re: "I am surprised that there has not been more discussion of this issue of valuation/growth rate. Has some complacency crept into the thread? What do your think?"

Yes - lots of complacency.

This is probably due to several factors:

1. Most Intel investors are accustomed to good growth over time, due to Intel's constant stream of new product development and introductions.

2. Over the past several years, Intel's PE has been largely eclipsed by MANY MANY other companies - Cisco, Microsoft, the "dot.com"s etc., so Intel's current high PE is only "approaching" these other companies' PE.

3. Trust - Intel has always "delivered" in the past, and most of us are betting that they will deliver new products, new markets, and earnings growth again.

Paul
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