3Com Corporation (COMS) Message Board

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Technology Stocks : 3Com Corporation (COMS)

COMS 0.00130

-18.8%

Nov 7 11:47 AM EST

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To: miklosh who wrote (44168)	7/27/2000 9:06:35 AM
From: David E. Taylor	Read Replies (1) of 45548

Miklosh: How are you going to judge and declare a winner with three separate estimates involved? As a numbers guy, let me suggest a purely objective mathematical criterion - the Root Mean Square (RMS) deviation from the actual closing prices. It's calculated as follows: (1) Subtract the estimate for COMS from the actual closing price. The answer will be positive, negative, or zero. (2) Square the result from (1). This gets rid of the negatives so they're on the same basis as the positives magnitude wise. (3) Repeat (1) and (2) for PALM and COMSV. (4) Add the three results, divide by three, and take the square root. This gives the combined RMS deviation of the three estimates from the actual closing prices. Using such an objective criterion will eliminate endless bickering about who won, which IMO will inevitably occur because we'll all have nothing to do. I also suggest we have three sub class winners for the three estimates. I'll volunteer to do a small spreadsheet to calculate the results if you like. All in fun! David T.

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