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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?


To: Rick who wrote (12736)12/13/1999 9:04:00 PM
From: Mike Buckley  Respond to of 54805
 
Many of you know about the Rule of 72. I've got a new one: The Rule of 418.

The Rule of 418 says that Qualcomm's stock price is $418 just 1.67 years after the start of the CDMA tornado and that, since the tornado began, the stock has increased an average annual rate of -- drum roll, please -- 418%.

No kidding. To discover that numeric coincidence in the same week that we learned of the Q in the sky that is so large it is 40 light years wide is definitely cosmic. I'm gonna go put on my pointed hat that has the gold crescent moon and five-point stars all over it.

For another bit of trivia that I think will boggle the mind: Cisco's stock advanced at an average annual rate of 99% during the five years after the start of its first tornado. For Qualcomm stock to do as well in the first five years after the start if its CDMA tornado, the stock must appreciate from this point going forward at an average annual rate of only 23%.

Similarly, to match Cisco's average annual appreciation of 89% during the nine years after the start of its tornado, Qualcomm's stock must appreciate only 37% annually from here going forward.

Enough trivia and cosmic revelations. Back to true gorilla gaming.

--Mike Buckley