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Technology Stocks : C-Cube -- Ignore unavailable to you. Want to Upgrade?

To: BillyG who wrote (45238)	9/23/1999 1:43:00 PM
From: Black-Scholes	Read Replies (3) \| Respond to of 50808

BillyG, that statement is just riddled with ignorance. High P/E's don't necessarily mean that the company is "over-valued." They usually just reflect the market's valuation for the company's "present value of GROWTH OPPORTUNITIES". High P/E's don't necessarily mean a stock is "expensive" and, correspondingly, low P/E's don't necessarily mean a stock is "cheap." This is a very important distinction. CUBE has a relatively low P/E simply because the market doesn't feel CUBE's growth OPPORTUNITIES are as valuable as say XLNX's or BRCM's. Obviously, we shareholders feel differently. Bottom line: It's precisely the opposite of what you stated. CUBE's low P/E relative to their peers should provide management with MORE than ample incentive to execute good PR. CUBE should be trading at a earnings multiple commensurate with their peers. It's up to CUBE to educate the market.