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Technology Stocks : Intel Corporation (INTC)
INTC 34.50+2.6%Nov 21 9:30 AM EST

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To: Road Walker who wrote (41247)12/2/1997 12:28:00 AM
From: Joey Smith  Read Replies (2) of 186894
 
John F., I agree with your #3. Its the current sentiment which dictates the PE. Take a look at IBM. Currently trading at a new all-time high and a very high (if not highest) historical PE. Its PE may even be higher now than Intel's, but is IBM's future growth rate (a few years out) better than Intel's??? NO WAY! But, right now, IBM is considered a "safe-haven" while Intel is still considered "uncertain" due to PII transition. But, all intel investors should be comforted by the fact that sentiment can change very quickly...once the analysts start turning in favor of Intel again, this stock will jump quickly.
joey
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