Thanks miles.But my view is Chuck Hill head of First Call represents a company that is a calculating machine. The services are their income, they are not a brokerage nor a research company like Bernstein. And until proven otherwise, i hold they are calculating in the new factor, and unlike what Zeev said, they wouldn't understand amortization, i am sure they do, as First Call is NOT what one would categorize as stock analysis company. They are actually number crunchers.
And i the most influential earnings estimate company in the U.S.
Also, from this bit,<<This change will have a big impact on some companies. Take AOL Time Warner, for example. When they first announced the merger in February, 2000 they estimated goodwill would be $190 billion, and planned to write off $7.6 billion per year for 25 years. Under the new rules, they should instead write down any impairment in its market value. This should probably be the amount Time Warner stock dropped in the time between when the initial merger agreement was struck and the actual closing a year later.>> the overall effect may not be that great.
As Abby Cohen, in December insisted it was going to be good year in stocks based on the new FASB rule, we can see how impressively bad her prediction has been ---and is another proof of Abby's superficiality, as Zeev says this new rule is just another BS bunch of phony number juggling. Max |
