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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: Catcher who wrote (35696)	12/19/1999 5:28:00 AM
From: johnd	Read Replies (2) \| Respond to of 74651

Several people on the thread get way too excited when MSFT makes a sudden jump. I hope, wish it will hit 130, 160, 200 tomorrow. But common guys. Here is some reference for you. (1) Last year, MSFT closed at 140 on 12/31/98. That was 18% higher than July peak of 120. On Jan. option expiration it clossd at 150, or 25% higher. If it did same pattern this year, it should close at 118 (18% higher than 100 peak) and then by Jan expiration at 125 (25% higher). (2) Last year, MSFT closed at 140 on 12/31/98. That was 1at a trailing PE of 70. On Jan. option expiration it closed at 150, or 75 trail PE. Similar figures for this year would be 105 and 112.5 (Of course, this time earnings will be before expiration, so depending on how good eps and guidance is, the stock could be a bit higher on Jan expiration. My year end target : 105 - 118. Most likely around 110. My 1/18/2000 target: 120 Again, we will see. I would be careful putting money on extreme bullishness after a 25% price hike. Especially options.