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Technology Stocks : SDL, Inc. [Nasdaq: SDLI] -- Ignore unavailable to you. Want to Upgrade?

To: Jack Hartmann who wrote (1483)	5/29/2000 9:02:00 AM
From: Wyätt Gwyön	Respond to of 3951

One of the problems with these analysts setting a price target based on earnings estimates is that their estimates are always too low for SDLI. Meaning the implied PE is higher than the real PE. Part of it is that they tend to lowball, and part of it is that SDLI is just doing so darn well. Come on: telling analysts to bump up the sequential estimates by 24%, after giving guidance for 25% QoQ rev growth at the CC, is just unheard of. One wonders why the analysts even bother to put numbers to paper, they are so far off. One can debate what PE level is ultimately justified, but SDL likely to trade ahead of any level based on "estimates" that the market considers invalid. The market "knows".