Qualcomm Moderated Thread - please read rules before posting 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 Moderated Thread - please read rules before posting

QCOM 164.53

-0.4%

3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: qinvestor who wrote (91045)	4/23/2010 4:29:57 PM
From: Jacob Snyder	Read Replies (2) of 197214

To the thread: it would be interesting to have a discussion, about what QCOM's Fair Value is today. I'm asking everyone to post their guess, with an explanation of how they arrived at that number. So far: 29-38 Jacob Snyder 20-35 ginvestor My reasoning: Fair Value = 29 to 38 = (1.77 X (10-to-15)) + 11 = this year's GAAP EPS, times expected LT growth rate, plus net cash I use GAAP because Pro Forma systematically excludes real costs the company has. The "one-time events" aren't. I am optimistically assuming that net cash of $11/share won't be wasted. I know, their track record would lead to a less optimistic conclusion. The PE should be about what the LT growth rate is. When I say "LT growth rate", I mean in GAAP EPS. The word "growth" is used a lot, and used loosely. Growth in what? Growing revenues by 20%/Y won't grow the stock at that rate, unless earnings (real earnings, accounting for all the real ways management wastes money) go up by the same amount. disclosure: currently on the sidelines, looking for an entry point. Trying not to catch a falling knife.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next