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Technology Stocks : THQ,Inc. (THQI)

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To: Bleeker who wrote (6205)6/20/1998 9:58:00 AM
From: vc21  Read Replies (5) of 14266
 
Bleeker,

Points well made on the eidos and erts front. However, THQ may write off the whole shebang this quarter and thus have negative earnings after the charge.

Secondly, I don't know where the analysts get the industry average of 22. It definitely is not 22.

Activision: 33
Electronic Arts: 41
GT Interactive: -
Acclaim: -
THQ Inc: 14
Eidos: 25
3DO: 4
Microprose: -
Interplay: -
Take Two: -
Midway: 11.5

I know I am missing some companies but that's a PE of 11.6 over this average. Even if you added three companies to this list with a PE of 40, the average would still be 18. So, I'd take that industry average of 22 with a grain of salt.

- Vic
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