Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: JDN who wrote (9997)	4/25/2000 2:17:00 PM
From: TraderEd	Read Replies (1) \| Respond to of 17183

The village bum was walking down the street and wondering where his next meal was going to come from. He was hungry, really hungry. All of a sudden there is a ten dollar bill laying in the street in front of him. He picks it up with glee and runs off to the pizza place and orders a large pizza. The counter guy asks if he wants it cut in 6 or 8 pieces. The bum says, cut it into 8 pieces, I am really hungry today."

To: JDN who wrote (9997)	4/25/2000 2:21:00 PM
From: Bill Fischofer	Read Replies (1) \| Respond to of 17183

Re: Stock performance I have no complaints about EMC's stock performance. Very few people really sense the sea change that is occurring in IT and how EMC is now the prime mover here. That just means that EMC's stock won't get ahead of itself (which is good). I'm very much aware that my views on EMC's threat to the traditional processor vendors (SUNW, IBM, etc.) are controversial, however I believe that the true nature of this threat will become manifest over the next 2-3 years. Today the IT hardware budget is roughly split 50/50 between storage and processing. By 2003 that ratio will move to 75/25 and it won't stop there. By the time it reaches 90/10 (2005-2007) the processor will become as much a commodity as the disk drive is today. Processors will still be important, but they will no longer be the high-margin value-added center of the IT universe. That role will be taken over by the storage network, and EMC fully intends to dominate that space.

To: JDN who wrote (9997)	4/25/2000 2:56:00 PM
From: X Y Zebra	Respond to of 17183

frankly am amazed the stock has not performed better today after all these fantastic press releases. Let it go through resistance @ $133.00, and it will start pushing higher. I would not be surprised to see a strong close... we will see this afternoon. (today's high $135, with 1 trading hour to go) imo. _____________ Edit... grub 10,000

To: JDN who wrote (9997)	4/26/2000 1:30:00 AM
From: jbe	Read Replies (1) \| Respond to of 17183

RE: Stock performance. Do not anger the Goddess of the Stock Market, or she may hurl a bolt at EMC, which so far has managed to escape the market carnage relatively unscathed. Right now, the price of EMC is less than 8% below its 52-week high. Of how many of the other Big Boys in Techland can that be said? Speaking quite seriously, the problem is that EMC is already selling at an awfully rich p/e of 131.6 (projected to fall to 70 next year, but still...). That, rather than the price of an individual share, would be what would give me pause, if I were thinking of buying right now. For that matter, it gave me pause when I actually did buy it, in January, when it was considerably cheaper. True, up to mid-March, few people seemed to give a hoot about such old-fashioned things as p/e's, but valuation is getting more attention now. Even the best of companies can be overpriced. For your edification & amusement, I offer two price analyses of EMC --one from Quicken.com, the other from Morningstar.com. The former concludes that the 'intrinsic value' of EMC is $31 a share; the latter's "business appraisal" comes up with a price of $27.50 a share. quicken.com quicktake.morningstar.com Ridiculous? Of course, considering that folks will be prepared to pay a premium for a company like EMC. But how much of a premium? That's the real question -- unless you think the market is over its attack of indigestion, and is ready to party on as it did before.