INFORMATION ANALYSIS (IAIC) - YEAR 2000 Date Remediation Message Board

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Technology Stocks : INFORMATION ANALYSIS (IAIC) - YEAR 2000 Date Remediation

IAIC 4.280

+12.3%

Dec 16 4:00 PM EST

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To: Henry who wrote (1598)	5/13/1998 11:33:00 PM
From: the dodger	Read Replies (5) of 2011

Henry...I was addressing the question as to why the institutions aren't enthused about IAIC & other Y2K stocks. The point is, all the $$$ earned from Y2K solutions is going to be pretty much viewed as "extraordinary earnings"...a one-time thing....and will have little or no effect as to the PE ratio placed on the underlying stock. All you have to do to prove that to yourself is go look at stocks that have reported extraordinary earnings or losses...it usually has little effect on the stock price. Let's say your right...let's say IAIC earns $2 a share in 1998 and then $10 a share in 1999....what kind of PE would you put on those earnings?...As of Dec 31, 1999 the party is over. What $$$ they earn in 1998 & 1999 will have little bearing on what they earn in the year 2000.00. The stock price at that point will be governed by demand for their services in the future...which may turn out to be great....but certainly unclear and uncertain at this time. Am I short this stock? No...I'm not...but I wish I had shorted it when I first saw the folly in these Y2K stocks. "the dodger"

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