Value Investing Message Board

STOCKTALK

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.

Strategies & Market Trends : Value Investing

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: jhelmers who wrote (12683)	6/26/2001 11:19:57 AM
From: Paul Senior	Read Replies (1) of 78552

jhelmers, re: IM & TECD. They have in common that they are both computer resellers - a not-so-attractive business right now (apparently). Which might mean now is just the time to buy these stocks. Still, to me, both stocks look too expensive at current prices. Looking at TECD, I was surprised to see it's a $5 billion revenue company and on the Fortune 500. I like that they are broadly diversified within several aspects of IT. The size and diversification in a technical sector make it difficult for me to analyze the company though. Using just a rote model I have (based on TECD financial numbers over past five years and a capitalization rate), I figure fair value for the stock is maybe $35, maybe $40 if they can maintain current ROE performance. (Not saying my model is correct or even that it's workable - but it sometimes gives me a point from which to anchor an evaluation). Given that the stock's $30-31, and the price has bounced around, I'd be interested in TECD if I could get it closer to its lows (near 25). Jmo, and I've been wrong many, many times.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next