Qualcomm Incorporated (QCOM) 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.

Technology Stocks : Qualcomm Incorporated (QCOM)

QCOM 137.34

+0.8%

Feb 6 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Wyätt Gwyön who wrote (110125)	1/2/2002 4:15:50 PM
From: pyslent	Read Replies (2) of 152472

"As i pointed out, qcom needs to earn more than 2.60 per share IMMEDIATELY if it is to pay the average S&P 500 dividend at the average payout ratio." That would be true for a non-growth company (matching the expected avg yield from a money market fund). The reason that current QCOM investors are willing to pay a premium for the shares relative to its earning is because they EXPECT to be paid a $5/sh dividend in the near future. or at least have $5/sh company profits with which to generate good ROI for shareholders (whether they pay out the dividend is irrelevant as long as shareholders are happy in the manner by which the earnings are used). Mucho Maas is correct in pointing out that it is vitally important for QCOM investors to understand what expectations are priced into the stock. If QCOM fails to make $5/sh within 3-4 years, IMO, the stock price will suffer. Of course, while Mucho seems to think that that is a ridiculous earnings target, I would not be surprised to exceed that substantially. Pyslent

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next