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Technology Stocks : Intel Corporation (INTC)
INTC 37.87-4.1%3:26 PM EST

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To: David Glynn who wrote (14211)3/15/1997 5:39:00 AM
From: Doug Fowler   of 186894
 
David:

With $8+/share in the bag for Intel for 1997, and historical P/E of 17, this puts the current price of Intel at about the right place.

But we are all confident that Intel will grow at a faster clip than this, so that makes Intel a good buy right now.

Let's look at some (conservative)numbers:

Low PE High PE
1997 - $8.25 $100 $165
1998 - $9.75 $117 $195
1999 - $11.50 $138 $230
2000 - $13.50 $162 $270

Risks are that Intel sometimes trades as low as 12:1, and if there are any blips along the way, we could see 12:1 again.
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