Re: The so called Asian flue is over for these companies. Asian flue will
continue to afflict the other players. Look at Boeing, Dell, IBM, CPQ,
etc
Sankar,
Are you saying that the Asian Contagion will continue to affect the aforementioned stocks or not? I really cannot gather your inference from your wording. If you believe that the Asian Flu is over for the companies who are leaders in their respective categories, how do you explain IBM's soaring stock price and AMAT's still depressed levels. If anything, AMAT is more of a leader in their field than IBM. IBM has enormous revenues yes, but really does not dominate any one segment with the likes of AMAT or INTC or MSFT or CSCO. If in fact WS is putting money once again into the leaders, why is AMAT left behind to wither? Currently AMAT is trading at ~15x FY98, a fiscal year which we are already in, so one could say 15X this years earnings. At the very least shouldn't AMAT have multiple of that of the S&P, since their growth over the next five years should be roughly double that of the index? At 18-19X earnings, that would translate into a price of approx $41. Why such the disparity in price for this undisputed leader? Any insight appreciated. I am and have been hemmoraging $ :-((((
Regards,
Brian |
