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


To: GVTucker who wrote (37230)6/7/2000 10:01:00 AM
From: JRI  Read Replies (1) | Respond to of 77400
 
*OT* GV- I understood that you found the Lucent article enlightening, however I wasn't so sure where you stood on the other pts. I listed...ie, that there are other factors effecting (justifying) this "premium"..

I would agree with you that Cisco doesn't enjoy any more a "liquidity" premium than GE, Microsoft, etc...in fact, I think all the stocks you listed enjoy it.....however, that leaves thousands of companies that don't enjoy such an advantage...so relative to the rest of the market, I would argue it is possible that Cisco, Microsoft, GE, etc...get a "premium"

How else can one explain GE's growth rate of 12% (or so)...and P/E of 40+, and PEG of 2+ <G>