Nice IDEA JD.... notice how PE's don't matter any more?
That's interesting and MOT is ONLY about 50% lower now in just a few months....hhhmmmmmm?? Was he talking MOT up and buying Puts.... or talking it up and now praying for it to go up?
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To:JDinBaltimore who wrote (36195)
From: IQBAL LATIF Monday, Jan 8, 2001 9:24 AM
View Replies (1) | Respond to of 38317
I am a firm believer in PEG, right now the tech sector of S&P 500 trades at a P/E of 40 and growth rate of 25% that gives me a PEG of nearly 1.6, the other sector trades at a growth rate of 8% and P/E of 24 that gives me as PEG of 3, we will see that P/E's are no more important in the today's finace of the world, it is the the future grwoth that matters and the market has discounted the future growth to a considerable low level, SAP today surprised many and so did ALCOA, these are not earnings in a pre recession environment, the other indicator of M@ is important to watch so is the yield difference between the corporate triple A's and TB's, if you add all this otgether i think that if YAHOO that is big if ad rev even show a decline and oterh revs increase you may see a rally in IIX, so would be MOT the stocks have been sold off badly and the market once it smells that earnings are not reflective of recessionary more whip saws will come.. |
