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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: Maurice Winn who wrote (7237)8/18/2001 8:56:46 PM
From: Mike Ankley  Read Replies (1) of 74559
 
Intel's P:E is only 23

You get that P:E by looking in the rear view mirror. Since buying stocks is alot about buying the future, INTC P:E is much higher:

marketguide.com

Year Ending 12/01 P:E = 58.96
Year Ending 12/02 P:E = 43.85
LT Growth Rate Guesses = avg around 20%

So a P:E:G of somewhere between 2-3 seems very high for a cyclical commodity, especially when in fact the earnings and growth guesses keep coming down.

Mike
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