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Strategies & Market Trends : Tech Stock Options
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To: donald sew who wrote (53782)9/24/1998 9:40:00 PM
From: Herring  Read Replies (2) of 58727
 
Reasonable P/E is difficult to determine since P/E is current but stockprice is really a function of expected long term future earnings. When times are good people expect long term earnings to be good and P/E will be high. 5 year P/E would be a better measurement. P/E is really a measure of market psychology and not necessarily earnings only.

IMHO

Herring
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