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Technology Stocks : Semtech (Nasdaq:SMTC) -- Ignore unavailable to you. Want to Upgrade?

To: pham who wrote (875)	7/10/1999 10:16:00 PM
From: Stu Bishop	Read Replies (1) \| Respond to of 1225

Pham, The P/E at $70 would be 53 on current yr estimate of $1.32 and 40 based on next year estimate of $1.77. This stock is way overpriced. I put fair value around $40. But I love the company long term. I know, I know. It's a great company with platinum management and the best engineers, etc. But if the long term growth rate estimates I've seen (26-28%) are accurate, the stock has gotten well ahead of schedule. Check out the P/E on the lower chart. I don't think the actual value is accurate (probably based on last year's earnings), but notice the trend. Although the growth rate has slowed from around 40% a few years ago, the P/E is at a 5yr high. No, I'm not short the stock, and I'm not trying to talk it down. Just engaging in good discussion. Please, no flaming, but flame if you must. I can take it. And besides, you can't touch me. bigcharts.com I'm happy for all you that hung in there. I got burned back in late 97 when I held on too long, so this time I played it safe (panicked) and sold at $47. I more than doubled my original investment at around $21 per share. I hope to get back in this one on a good correction to under $40. Could you please recommend some other companies who develop/sell competing products. I'm wondering if other companies are benefiting from the healthy business in these markets. I'm also hoping to latch onto one that hasn't yet experienced an obscene run up like this. Thanks for your advice. Best of luck to us all. SPB