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.

Non-Tech : Conseco Insurance (CNO) -- Ignore unavailable to you. Want to Upgrade?

To: Tunica Albuginea who wrote (1480)	7/2/2000 2:44:21 PM
From: Robert T. Quasius	Read Replies (3) \| Respond to of 4155

CNC is still very undervalued at these prices. If we multiply the consensus estimate of $1.9 for FY00 by a P/E of 10, we come up with an intrinsic valuation of $19. The other stocks in this sector sell at a P/E of 10, but have lower growth rates of around 12%. Even discounting the P/E for the present troubles, likely write-down for GT Finance, etc., the stock is still at a significant discount. If it moves up into the low to mid teens next week, I predict the shorts will panic big time. Remember, they can have margin calls too and many of them are probably already getting margin calls.