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Technology Stocks : MSFT Internet Explorer vs. NSCP Navigator

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To: John Donahoe who wrote (13444)10/21/1997 1:23:00 PM
From: John Donahoe  Read Replies (1) of 24154
 
"MSFT has total control of their earninmgs."

biz.yahoo.com

Tuesday October 21 10:16 AM EDT

RESEARCH ALERT - Microsoft estimate upped

NEW YORK, Oct 21 (Reuters) - Lehman Brothers said Tuesday it raised its fiscal 1998 earnings estimate on Microsoft Corp to $3.21 per share from $3.15.

Said majority of estimate change ''comes in the December (fiscal second) quarter, up from $0.78 to $0.82.'' Cited Microsoft's allocation of $253 million or $0.13 per share to unearned revenue account as a positive that demonstrated ''Microsoft has total control of the numbers and that the printed number would have been much higher.''


This is the primary reason why MSFT trades at a high forward PE. Wall Street likes predictable earnings.

JD
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