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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 75.19-0.1%Jan 16 9:30 AM EST

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To: JakeStraw who wrote (48357)2/7/2001 10:10:12 AM
From: michael97123  Read Replies (2) of 77400
 
" It has historically supported a higher p/e because of the certainty of it being able to continually grow revenues & earnings. That has now changed."

If the reason that it has changed strictly relates to the "bump" in the economy we are now experiencing the return to higher p/e ratios will come sooner rather than later. What I believe is happening now is planned damage control by Greenspan(rates), Bush(tax cuts), and CEO's(talking up the first two)) which will lead to better consumer and investor sentiment going forward. For Cisco and growth stocks in general, one or two disappointing quarters should have no effect once recovery is in place. Remember the stock went from 70's to 32 because of the anticipation of one or two bad quarters.I for one dont believe that cisco will become lucent or dell for that matter either..
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