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Technology Stocks : Micron Only Forum
MU 207.36+3.0%Nov 21 3:59 PM EST

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To: SlowThinker who wrote (41873)1/5/1999 2:48:00 AM
From: Skeeter Bug  Read Replies (1) of 53903
 
>>The other way is to just do a valuation based on the net present value of the stream of future earnings.<<

you better use earnings b/c cash flow is negative over the long haul - hence the billions in debt accrued AFTER the largest BOOM in the history of dram.

as for analysis, that is a nice view of demand side analysis that had had mu making $17 a share in 1996. instead of earning $17 a share, it traded at $17 a share. oooops ;-)

remember this (or learn it): cost reductions require huge output increases and that, in turn, affects pricing negatively.
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