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Politics : Formerly About Applied Materials
AMAT 252.25+0.9%Nov 28 9:30 AM EST

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To: Math Junkie who wrote (40008)11/26/2000 10:35:36 PM
From: Demosthenes  Read Replies (1) of 70976
 
<<What PEG would Wall Street consider to be justified under those circumstances? I sure don't know, and I don't think anyone else knows either.>>

Assuming someone knew the answer, what difference would it make to the prices at which these companies trade or the general perception of these companies? I bot heavily in the fall of 98 and the prices declined from there before heading up. There was lots of uncertainty then as there is now. When that goes away, so do the returns of the stock market. The more uncertainty the better for buyers, and if long, the less opportunity in selling.

The thing with market corrections and negative sentiment is that uncertainty is over-emphasized, while uncertainty in rising market is discounted.

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