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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Tony Viola who wrote (34584)	5/3/2000 9:25:00 PM
From: bambs	Read Replies (3) \| Respond to of 77398

CSCO EARNINGS 40% bogus! Don't kill the messenger! You have to comment on the message. What is the real P/E of CSCO? If you don't take into account this ridiculous tax benefit CSCO's P/E would be 310 at current levels. If the stock stops going up this tax benefit will not be had. Employees will demand more pay as the options will be worthless. CSCO shareholders will suffer at the end of the day. The writing is on the wall. CSCO is going down. Just a matter of time! CAPITULATE! "Believe it or not, U.S. tax law allows companies to deduct as a corporate expense the capital gains paid by their employees when they exercise their options. It's completely absurd, but it is what it is, and this is another reason why tech earnings are overstated. Last year, for example, Cisco got a boost of $837 million to its July 1999 fiscal year using that tax benefit, which represented 40 percent of its $2.1 billion net income" by W.F. Bambs

To: Tony Viola who wrote (34584)	5/4/2000
From: Yacht Trash	Read Replies (2) \| Respond to of 77398

Tony, LOL!!! RE: <I actually started to read your post until I saw the name of the guy being quoted, and then it was 10 picoseconds to the next button> If you were referring to the Willy Fleck quote in his message (which I think you were) LOL, again! That maroon, IMO, has been sent howling with his tail between his legs from more than just SI boards. Bambs mentor and source, HA! That figures! What entertainment that ridiculous permabear is. One of the only reasons I used to have CNBC humming in my ear during my trading was to hear Joe Battapaglia knock the snot out of his "the world is crashing, piffle" on the weekly Bull vs Bear CNBC segment. What a hoot. I could be mistaken because I have been out of pocket for awhile but I was told that even CNBC got hip to his nonsense and gave him the boot as well. bambs keeps interesting company indeed. Instead of the next button I think I will opt for "ignore this (bambs) person" Thanks for the laugh regardless. Best

To: Tony Viola who wrote (34584)	5/4/2000 1:14:00 AM
From: lawdog	Read Replies (4) \| Respond to of 77398

2 more cracks: Will the earth swallow permabulls whole? 1. Vendor financing - Is CSCO engaged in high risk lending ala S&L crisis? Is this company really managed as well as you think? forbes.com 2. FASB will probably eliminate pooling of interest accounting for acquisitions thus eliminating one more earnings management tool. And yes, CSCO uses pooling frequently. aicpa.org My, oh my, what a ponzi scheme. Does any tech have real earnings? Interesting possibility. CSCO's P/E is really around 1000 and real earnings growth is only around 20%. Don't know if this corect, but it seems that any number for CSCO p/e and growth is debatable. CSCO could really be worth much less than any of us could have possibly imagined. Could it be in the teens, or lower! Wouldn't that be something if even buy-n-holders of 3 years ended up with paper losses! And let me tell you something, my friends, it would take a long long time for CSCO to recover. Why should we buy CSCO or better yet why not go very short. If I were you, I would start using a new measure of valuation. Preferably one based on cash flow. Add these problems to the earnings management through options grants and the general lack of market liquidity and you have all the ingrediants for a pie in your face. Clowns, man your positions.