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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?


To: Les H who wrote (73036)1/7/2000 9:55:00 AM
From: Freedom Fighter  Respond to of 132070
 
Les,

>>median<<

I didn't realize they used the "median". I thought they were using an average or a similar methodology to the S&P. Thanks.

Their primary method is part fundamental (earnings momentum) and part price momentum the best I can understand it. I don't use their rating system.

The best part of VL is that you can get a quick scan of the company's long term performance, margins, ROE, PE, cycles etc..

If you see something you like you can take it further.

I have a back issue from 1986 (which gives me data back to the 70s). I find looking at the history of a lot of companies educational.

Wayne



To: Les H who wrote (73036)1/7/2000 10:48:00 AM
From: Freedom Fighter  Respond to of 132070
 
Les,

>>If they included the no-earnings companies in their calculation, the median P/E would actually be lower<<

I just thought about this. If they assume "no earnings companies" are selling at a higher PE (which they should), by excluding them they are lowering the median too. They also use operating earnings (pre one time charges).

Wayne