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Technology Stocks : EMC How high can it go? -- Ignore unavailable to you. Want to Upgrade?

To: Tony Viola who wrote (8854)	1/23/2000 12:42:00 PM
From: MJ	Respond to of 17183

Tony Re Value Line---I used to use it not so much for their 3 to 5 year projections but for their ratings of 1 to 5. When a stock moves upward from the 3 to 2 to 1 rating then I am interested. Particularly, if it has recently moved to the 2 or 1 level---the key here is recently----if it has been a one for a long time then I would use all resources possible to analyze before buying. If the stock then begins to be lowered in ratings and safety level(beta level) then I use the downward ratings as a caution or signal to sell. Often, Value Line simply confirms what I see in charts. Value Line is a good research tool, although I haven't used it for a long time. What are the ratings on EMC? And, do you know when the higher ratings were given? mj(not Mark Johnson)

To: Tony Viola who wrote (8854)	1/24/2000 8:18:00 AM
From: GVTucker	Read Replies (1) \| Respond to of 17183

Tony, RE: What does Value Line do, take the current price and multiply by X and then Y to get 3 and 5 year price targets, no matter what the stock? What they do is make an estimate as to the growth rate of cash flow and earnings over the next 3-5 years, then assume that the stock is trading at a similar multiple to its historical range, giving a stock price range in 3-5 years. 2 years ago, Value Line had EMC rated a '1' with a split adjusted 3-5 year target range of 13-20. Kudos to them for having it rated a '1' (been there since 7 Feb 97), but also it tells you how much time you need to worry about their target price range.