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 : Lucent Technologies (LU)
LU 2.640-2.9%Jan 9 3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Georgeb who wrote (16361)9/27/2000 2:59:18 PM
From: EACarl  Read Replies (2) of 21876
 
RE "Their head to head competitor, Nortel, has a PE more than 100. They make half the earnings of LU. You think LU
should have a PE of 15-20. That would mean that although they have twice the earnings of NT, LU should have
1/5 to 1/7th the value?"

1. Twice the earnings? No, the market look ahead and the
average estimates for next years earnings are LU = $1.31
and NT = $.97. that is 35% not 100%. At this point
the market is also far more suspect of LU's future earnings.
2. NT is kicking LU's butt, that's why LU gets lower P/E.
3. Just because NT is even more overvalued than LU doesn't justify a rise in LU, rather a drop in NT.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News