INTEL SUPPORT GROUP - the sky is falling!!!! Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : INTEL SUPPORT GROUP - the sky is falling!!!!

INTC 37.04

-6.2%

Nov 4 3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

From: Zachary Fluhr	5/22/1996 6:38:00 PM
	of 248

Hi John Nice of you to dig up my old prediction. I'm holding to my prediction of $85 for INTC by yearend 1996. Here is my reasoning: I believe the stock market simultaneously looks 6 months back and 6 months forward to generate "an annualized earnings estimate". The market then applies an appropriate multiple (taking future earnings growth into account) to the "annualized earnings estimate" to arrive at a price for the stock. By the end of this year, I believe that INTC will have earned $2.40 over the past 6 months (last half of calendar 1996) and will be expected to earn $2.70 for the next 6 months (first half of 1997). Thus INTC's "annualized earnings estimate" will be $5.10 by the end of the year. In my opinion, the market will consider a multiple of 18 as "appropriate" for INTC given its historic range and its large size (current market capitalization of $56B). This should place the stock in the $90 ballpark. While $90 IS higher than my March estimate of $85 I want to see Q2 earnings and INTC's own predictions about the last half of 1996 before I raise my number. I hope this helps. Zack

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next