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Strategies & Market Trends : Drillbits & Bottlerockets

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To: AugustWest who wrote (1989)1/26/2001 12:25:01 PM
From: Original Mad Dog   of 15481
 
GP was the subject of a trivia question on the Piffer thread last summer....huge revenues, decent profits (then) and almost nonexistent PE and market cap. I guess the market already knew they were having troubles, and it was priced in a long time ago. (Stock was trading then about where it is now.)

Perhaps they weren't taken out back and shot because with a PE of less than 8 already, there's no reason to bid them down further. If CSCO had a PE of 8 the stock would be trading at 3 dollars a share.

You can't let air out of a balloon if there isn't any air in there to begin with.
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