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Technology Stocks : Intel Corporation (INTC)
INTC 38.16+2.5%Nov 7 3:59 PM EST

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To: Dale J. who wrote (42794)12/18/1997 7:13:00 PM
From: Road Walker  Read Replies (2) of 186894
 
Dale,

The biggest concern right now is 1998 earning growth. In this environment, what stocks would you rather own:

KO, 3 year annualized earnings growth 17.1%, PE 39
GE, 3 year annualized earnings growth 19%, PE 30.6
CSCO, 3 year annualized earnings growth 48.1%, PE 30.8
INTC, 3 year annualized earnings growth 31%, PE 17

After the tech panic subsides, the money managers will realize that if they have to be in stocks in a dangerous earnings situation, the best place to be is the sector that has been leading both GDP and earnings growth over the last 3-5 years.

John
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