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Technology Stocks : THQ,Inc. (THQI)

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To: Bleeker who wrote (6217)6/20/1998 10:41:00 PM
From: Jim Willie CB  Read Replies (1) of 14266
 
all this talk of PE's sounds a bit goony... dont get me wrong, would love a 40 PE next month... but I liken the PE to AllStar balloting in major league baseball

NewYork and Calif players (companies) get more votes (greater liquidity) than foreigners due to recognition ... players slightly over the hill still get voted as starters (higher PE's -- see ERTS, Campbell Soup) ... a couple good years with solid stats (sales, growth, earnings) and you still wont get the respect of older players who have done it for better part of decade ... and when a budding young star has a serious injury which cuts into his stats, he loses serious votes (see THQ vis-a-vis WCW)

the contrasting element of this argument has AllStar balloting basically backward looking all the time ... PE ratio awards "claim" to be forward looking

PE=20 would be just dandy this summer agin trailing 4q, just like before the WCW announcemt of "free agency"

tongue not in cheek / Jim Willie
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