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Technology Stocks : Altaba Inc. (formerly Yahoo) -- Ignore unavailable to you. Want to Upgrade?

To: James A. Shankland who wrote (25199)	1/11/2000 6:55:00 PM
From: bearly_bullish	Read Replies (2) \| Respond to of 27307

I guess I'm having trouble following the math, can you explain what you mean? (Mr. Shankland wrote): ignore that Dow Jones headline about "unsustainable growth" as that was totally taken out of context. It was meant strictly as Cisco-like boilerplate, not a statement of negative change. Hmm, OK. Let's see, YHOO is a terrific company. Suppose they do grow profits at about 60% per year for the next 5 years straight (a tall order, but I think they have a shot). Then in January 2005, they'll be reporting a $2.04/share profit (all per-share figures based on shares before the split announced today). YHOO will be a behemoth, and really will have trouble continuing to grow at 60% per annum. But suppose that its prospects remain quite bright, and that stock investors continue to smile on the company, and that interest rates remain low, so that YHOO at that time trades at a P/E of 45. Then the stock price 5 years from today will be somewhere around ... umm ... 369. Uh oh.