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Technology Stocks : The New Qualcomm - a S&P500 company -- Ignore unavailable to you. Want to Upgrade?

To: cfoe who wrote (13530)	8/31/2000 3:06:18 PM
From: llwk7051@aol.com	Read Replies (1) \| Respond to of 13582

Michael, I don't take their computations very seriously. They did three assumptions of growth. 20, 25 and 30 percent and used present value tables discounted at 9% to come to current value. For all three methods, they assumed growth of 5% after ten years and discounted that also. I think the discount rate is too high if they are going to use what I consider to be conservative growth rates. The problem with models such as this is nothing grows at a constant rate in real life. In my opinion, we will see another period of hyper growth and then see the growth settle maybe in the 20 to 25% range. However, I don't see slower growth for six to ten years. After that I still expect growth in upper teens. Had they used numbers based on my assumptions the values would change dramatically. Anyway, it is always good to see different opinions. If they are wrong, the major funds will move back into qcom and the price will soar. Robert

To: cfoe who wrote (13530)	9/7/2000 9:14:08 PM
From: Ingenious	Respond to of 13582

Q price valuation does not take in account the unknown and powerful concepts of: 1. the VoiceWeb or VWeb 2. Voice controlled everything 3. High speed net access from wireless devices 4. Mcommerce using the mobile phone. True, if we were analyzing Motorola and the ability for them to churn out another 200K phones, this analysis would be relevant. Also, anyone who sells software or information that makes predicitons, probably cant make a dime on their own advice (otherwise they wouldnt need to sell any services or predictive products - they would just make it on their savvy investment skills). As they say, those who can't do....