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Technology Stocks : Intel Corporation (INTC)
INTC 39.50-3.1%Dec 11 3:59 PM EST

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To: Road Walker who wrote (67496)10/29/1998 11:55:00 AM
From: Harry Landsiedel  Read Replies (2) of 186894
 
John Fowler. Re: "Intel looks to be a STRONG BUY right now (relative to the overall market)." As you know, I've been bullish on Intel since '92, but I do wonder if Intel's valuation at these levels makes it a "strong buy", given the uncertainty about next year's earnings.

What do you figure those '99 earnings will be and what sort of P/E do you think Intel can command? The ballpark #'s I'm looking at are $4.00 and a 25 P/E. Now $100 is nice but that's only about a 10% bump from these levels.

For comparison purposes, cpq is looking at $1.75 (conservatively) for next year and a 25 P/E would give them a $44 price, a significant bump from $30. See what I mean?

HL
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