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Strategies & Market Trends : MDA - Market Direction Analysis
SPY 670.31-1.1%Nov 6 4:00 PM EST

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To: American Spirit who wrote (76955)5/13/2001 9:39:06 PM
From: KyrosL  Read Replies (1) of 99985
 
I disagree. I think it's probable that IBM will go below 60 later this year. That will give it a p/e commensurate to its earnings growth, provided its earning growth holds. And if we have a deep recession, then it's possible that it will deep below 40 -- where it will still sell for more than three times its book value.

There is no question that IBM has excellent technology. It had excellent technology back in the early nineties too, and that didn't prevent it from hitting a multi-decade low.
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