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

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To: Softechie who wrote (37811)3/5/2002 10:09:32 PM
From: Softechie  Read Replies (1) of 99280
 
From Fleck's...P/E Apogee Orgy : At the end of 1997, Intel had revenues of roughly $25 billion and managed to earn about $0.98. Last year, at the end of 2001, they had revenue of about $27 billion and managed to earn about $0.53. Want to know what the stock traded for at the end of 1997? $17.50. So, that was the market's view of what Intel was worth before things got totally out of hand -- when they were still growing and the PC market hadn't been saturated and the whole speculative orgy of technology was still in front of us. To think that it's worth a P/E of two or three times that now is the height of folly. But this is still what passes for analysis by the dead-fish community, even post-Enron.

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