SI
SI
discoversearch

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.
Technology Stocks : Oracle Corporation (ORCL)
ORCL 204.71+3.1%3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: X Y Zebra who wrote (16070)8/20/2001 8:19:41 PM
From: Joe Waynick  Read Replies (1) of 19080
 
Your post is thoughtful and helpful.

You mention many good points. I have never tracked "insider" trades very closely. Perhaps it's something I should investigate.

When a stock trades below the low or average PE times future expected earnings, the market will eventually realize the inefficiency and price the stock up to at least it's earnings stream. Right now, I believe that situation exists with ORCL, assuming a 25% future earnings growth rate.

But that's the real rub isn't it? Knowing what the future growth rate will be. I believe 25% is a reasonable number, but I could be wrong. ORCL earnings have grown an average of 45.6% the past 10 years. So I think my number is reasonable. But like everyone else, I could be wrong. Still I think stepping into an $8 price for ORCL is not a bad entry point, especially if I can do it with put options and the price never actually goes below $10. I would be in 7th heaven.

Meanwhile, I'll just collect the option premies and be happy with the monthly cash flow, even if it takes off and leaves me in the dust. I'll still have something to show for my efforts, and at a great annualized return to boot.

Thanks again for your comments and input. Feel free to comment again.

Joe
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News