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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?


To: Charles Tutt who wrote (51611)10/18/2000 11:44:53 PM
From: David Howe  Respond to of 74651
 
<< So you're saying the EPS projections included a billion dollars in investment income? >>

Sure, the analysts were trying to estimate MSFT's EPS due to all factors (other than what would be effected by an accounting variation that they were unaware of). Investment income is a totally normal and expected contributor to EPS.

I do agree that the analysts didn't expect the investment gains to be as significant as they were. Bottom line is that revenue was better than expected and EPS was solid.

Dave