Skeeter, I think you are smarter than what your statements portray you to be or is this simply a case of perception not meeting reality? (g).
WHAT IS $0.40 TIMES $20? it is $8.00. hey, i said this would happen when mu was $30. $40. $50. $60.
Seriously, you ought to be joking when you say that MU is worth 20 times earnings for 1998. Future earnings is only part of the valuation picture. There was a time when MU was selling at 5x trailing PE. Stock valuations (in reality, not in the fluffy ethereal world of forever-bear dreams) stem from future market potential, value of technology, demand/supply growth going forward, past performance, management, market perception and the global market place (MU visavis other competitors).
While the current pricing environment for obsolete DRAM generations (16 Mb and 64 Mb EDO) is currently very poor, no one, including the mighty skeeter, knows what the future holds for the stuff that really matters, future generations of SDRAM. While the current picture is not too encouraging (You can see that I am a sucker for overstatement -g-), I think that the recent Korean crisis and concomitant consequences will hold some important developments, including an improving pricing enviornment during the latter half of 1998. I will go so far as saying that MU will probably make at least $3/share in FY 1999 (Based on my totally classified, highly rated quantum regression chaos model -g-).
I am still waiting for the day when one of the bears on this thread (May be you are the Ordained One) will provide an objective analysis of how equities are priced in bull markets and apply it to MU. I am simply getting tired of reading the same bearish drivel on a daily basis -g-.
Best Regards,
Sridhar |
