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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: unclewest who wrote (26787)	8/10/1999 1:09:00 PM
From: Richard Habib	Read Replies (1) \| Respond to of 93625

Unclewest, design wins, etc. aren't important because the story is simply that Rambus will eventually be the standard memory. There is little doubt about that IMO. The point Milehigh has made is that unlike Internet stocks, Rambus has a well defined growth end game. It's future growth will be similar to the DRAM market growth. Given that and depending on the numbers you use, the future may already be mostly priced in. Hence my opinion that PE is the single most important factor for a long term investment. I've also followed the arguement about whose specs are important in determining performance. Anyone who follows tech knows that companies routinely overstate performance gains of new tech. I'm sure you agree that this industry is famous for over promising performance gains. Rambus is a future tech that will come into its own in a year or two. Intel probably mis-calculated the timeframe to switch. Those decisions were made before PC prices began to free-fall. Rambus's initial success will be determined by all the PC mags and pundits who will advise consumers whether Rambus systems are worth the money. My instinct is that initially many sites will not recommend Rambus intially. In the next year or so it will become more compelling and become standard. That said, my initial thoughts on PE remain IMO the most important factor for long term holders profitability. Rich