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Strategies & Market Trends : Zeev's Turnips - No Politics

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To: vampire who wrote (3606)11/7/2001 8:42:22 AM
From: Steve Lee  Read Replies (2) of 99280
 
Calculated weighted PE for top 30 stocks in NDX 100 just now.
Result = 50.8

Sanity check -> also ran calculation for analyst 2003 projections.
Result = 43.6

Notes:
1) Used pro forma earnings
2) Analyst projections from Yahoo finance
3) Top 30 stocks account for 67.8% of NDX 100 weighting
4) PE of all 100 usually works out around 10% higher than PE of top 30.
5) I think 2003 earnings projections are optimistic
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