SI
SI
discoversearch

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 : Qwest Communications (Q) (formerly QWST)
Q 105.21+7.2%Feb 9 3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Andrew G. who wrote (273)11/4/1997 9:45:00 PM
From: JAG2  Read Replies (3) of 6846
 
I SEE A NEGATIVE SIDE....SOMEONE HELP ME

Around 1993 I bought MFS Communications that was builing Fiber Optics across the United States. Seem like for the same reason as QWST.
The IPO Price was around $20+ ??. Six months after the IPO I bought
MFS for $45. It promptly dropped to $15. Three years latter it was bought-out for around $35+.

QWST worrys me, as it seems like another MFS.

1. Wall Street Investment Bankers seem to support their IPO's price for 6 or so months, then they sell out and the price drops. Hasn't it been about 6 months since the IPO ???

2. I see that earnings for year ended 1998 are NEGATIVE. What do ou show???

3. If earnings last QT were
$.12 x 4 month = .48 cents.
$60 price/.48 = 125 PE
Isn't this high....help me with this.

4. Don't get mad at me. Maybe someone can show me something I don't see. Eventually all stocks sell at a reasonable PE.

5. It cost alot of money and takes many years to build fiber optics across the US. MFS took 4+ years. Will they need more money
(issue more shares)?

6. My gut suggestion is that if anyone wants insurance on this stock,
take out a PUT for insurance (just in case).


Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext