How high will Microsoft fly? Message Board

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Technology Stocks : How high will Microsoft fly?

MSFT 472.22

-1.3%

Nov 21 9:30 AM EST

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To: keithsha who wrote (11519)	10/20/1998 8:42:00 PM
From: Boon	Read Replies (1) of 74651

MSFT's Future Earnings I don't think Microsoft will take an earnings hit because of the DOJ suit for at least several quarters. The reason: the trial underway in Federal District Court is just the beginning of the legal process. This case will eventually reach the Supreme Court, regardless of how Judge Jackson rules. That means a final verdict is at least a couple of years away. In the meantime, Microsoft will continue to steam ahead, its earnings growth intact. It may back off from using such aggressive, strong-arm tactics with other companies, but that won't knock a hole in MSFT's bottom line. In short, expect Microsoft's share price to gradually rise over the months ahead, fueled by earnings. The extended legal process may create a headwind for MSFT's share price, but not enough to reverse the appreciation in Microsoft stock.

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