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 : PALM - The rebirth of Palm Inc.

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Mang Cheng who wrote (1268)8/18/2000 3:00:21 PM
From: David Howe  Read Replies (4) of 6784
 
Ok guys, let's put together a model to project PALM's future earnings. I'd like to estimate earnings for PALM in the year 2004 in order to determine the future potential of the stock. Help me out with a few assumptions. All of the following should be based on 2004 sales and business model. I'm just looking for rough estimates.

How many total handheld devices will be on the market in the year 2004? (300 million? 1 billion?)

What share of this market will PALM own? (20%? 70%)

What will be the average sales price of a PALM PC? ($100? $400?)

What kind of turnover will there be. In other words, what % of PALM owners will buy a new one each year? (10%? 40%?)

What level of Net Margin can we expect from PALM on these sales? (10%? 40%?)

I'd really appreciate some input on these factors. With this type of basic understanding we can quickly determine if PALM is a buy today (from a long term perspective). Thanks in advance.

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