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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 76.22+0.1%Nov 24 3:59 PM EST

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To: The Phoenix who wrote (39413)8/12/2000 1:20:08 PM
From: bambs  Read Replies (1) of 77400
 
Gary,

Would you buy CSCO at this level if you thought that the "pooling" rules would be changed in the next year. What would you think of your investment if CSCO was forced to change it's accounting practices and begin amortizing the "goodwill" from past acquisitions over a 20 year period? Would you feel the same if this changed turned the "actual net-income" to a negative number? I believe that this change would wipe out "actual net income". You must agree that CSCO's has paid prices for companies like ARPT that have eroded "actual" shareholder value. I think the CSCO picture has been distorted by the media focusing purely on pro-forma numbers. There now exists enough CSCO stock for everyone on the planet to own a share! That's a lot of paper! It will be a big job long term for CSCO to draw in the kind of revenue and profit that will justify the market cap / outstanding shares!

Bambs
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