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Technology Stocks : Advanced Micro Devices - Moderated (AMD) -- Ignore unavailable to you. Want to Upgrade?


To: Monty Lenard who wrote (10501)9/28/2000 10:08:13 AM
From: TechieGuy-altRespond to of 275872
 
Monty, I'm not Chic, but am interested in your calculations.

What do you mean by "no earnings to speak of" ??
The you assume a figure of 25 million. Is that 25million of net earnings a year?

What are your estimates if you assume net earnings of 1000 million/year (1B/yr)?

TIA

TG



To: Monty Lenard who wrote (10501)9/28/2000 10:21:01 AM
From: niceguy767Read Replies (1) | Respond to of 275872
 
Monty:

"Having to make some assumptions on earnings because there are none (to speak of) so anyone wanting to shoot holes in this can give me an earnings number of their own. I used 25 million."

Comment: What is the current value, if rather than using your $25 million, we assume that AMD will average $500,000 over the next 10 years...Probably more realistic than $25 million...$500,000 million might even prove low if I use INTC's current earnings as a benchmark, especially when both companies appear headed in opposite directions as far as microprocessor market share is concerned!



To: Monty Lenard who wrote (10501)9/28/2000 12:38:02 PM
From: AK2004Read Replies (1) | Respond to of 275872
 
Monty
amazing, 25 million - gotta sell my amd now
311mi * 0.62 * 4 = 311mil * 2.48 = 25mil
That must be this new advanced branch of math - montilus
To make it even worse the 11% rate is for fixed income and does not take into account economyh flactuations. The spread above t is due to mainly default risk but if you factor in flactuations then it is more like 20% to 25%.
Regards
-Albert