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Technology Stocks : Compaq

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To: Night Writer who wrote (41448)12/28/1998 11:44:00 AM
From: Kenya AA  Read Replies (2) of 97611
 
Hi NW: I'm just telling you that I've been convinced by hard facts and logical conclusions based on those facts that P/E ratios are not factors in stock price movement. I will be happy to examine evidence to the contrary - I have an open mind. If you're going to consider them, projected P/Es would seem to make more sense since the market is forward looking.

"Based on what you are saying, I should sell CPQ and jump into Internets with my retirement money."

Not saying that at all. There are other factors that should be considered such as earnings momentum, current TA analysis, and general market conditions. Also, IMO, retirement money is a whole different animal with all kinds of considerations - I don't even handle any of my own retirement $. I don't know what internet stock you should buy, but if I see a "sure thing" I'll let you know. I've been following your posts for a long time - you and I don't operate in the same "market space". You appear to be a longer range investor as in what stocks will be good for '99 - I'm more interested in what stocks will be good for this week. Am I wrong in this assessment?

K
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