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 : All About Sun Microsystems
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: cheryl williamson who wrote (38380)11/29/2000 5:27:23 PM
From: A.L. Reagan  Read Replies (3) of 64865
 
Simple valuation metrics per Multex consensus estimates on SI. EPS for FY 2001 (ends 6/01) vs. 2002 show 25% growth.

Numbers shown are $1.40 (FY '01) and $1.75 (FY '02).

In a normal historical market this translates to a P/E in the range of 35-40x, assuming the growth rate is sustainable.

If we average the FY '01 and '02 estimates, in order to derive a 12-month forward earnings number, and multiply by a P/E of say 37.5, the result is $59-1/16; $63.00 @ 40x P/E; $70-7/8 @ 45x P/E. Above 45x, not realistic given general revaluation we are seeing.

The 25% growth per the consensus numbers is not unreasonable given the issues we know about in the U.S. The rest of the world really ain't that great either.

40% YoY growth is hallucinatory in the current environment.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News