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 : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Charles Tutt who wrote (159332)	8/9/2000 5:25:52 PM
From: jim kelley	Read Replies (2) \| Respond to of 176387

P/E is not ordinarily computed based on quarterly numbers. Moreover, you are looking through the rear view mirror. EOM

To: Charles Tutt who wrote (159332)	8/9/2000 5:30:54 PM
From: dwdkc	Respond to of 176387

People can pick and choose what numbers they wish to use, but looking at the growth in earnings from just one quarter over the previous year's quarter is way too narrowly focussed to be useful. The convention I see in PEG is using the consensus projected growth for next near, and the trailing 12 mos earnings. For good reason, the P is forward focussed. You can argue that the consensus growth forecast for CSCO and SUNW are too pessimistic (the market sure does), but even if you bump them up some you see a PEG that has major air under it. They've done a great job but woe is the stock if there is a misstep. Dell's PEG makes it the safest stock in my portfolio according to my "sleep at night" test.