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Strategies & Market Trends : Roger's 1998 Short Picks

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To: larry who wrote (16315)12/21/1998 8:17:00 PM
From: Roger A. Babb  Read Replies (3) of 18691
 
Larry, I think that csco, msft, and dell will also suffer when the bubble bursts, but not as much as the Internets. Speaking of csco, do you really believe that it deserves a market cap almost as large as IBM? Check these figures:

IBM market cap $162 billion
revenue 80 billion
earnings 6 billion

CSCO market cap $150 billion
revenue 9 billion
earnings 1.5 billion

Either CSCO is over valued or IBM is very cheap. I think IBM is over valued and CSCO is a bubble stock.
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