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To: Stock Farmer who wrote (49491)	2/28/2001 11:28:31 AM
From: chic_hearne	Read Replies (1) \| Respond to of 77400

John, I never got this PEG crap, it's based too much upon future expectations that are unlikely to come true, and the consequences are big if growth slows. A few simple ones are all I need, Price/earning and Price/sales, for both trailing 4 quarters and future 4 quarters. I don't like to get into anything that has a high price/sales ratio regardless of the growth, P/e is less important. Of course, a tiny company growing fast deserves a higher metric, but one must take into account the laws of big numbers and exponential growth when looking at larger companies. chic

To: Stock Farmer who wrote (49491)	2/28/2001 11:28:31 AM
From: chic_hearne	Read Replies (1) \| Respond to of 77400

John, I never got this PEG crap, it's based too much upon future expectations that are unlikely to come true, and the consequences are big if growth slows. A few simple ones are all I need, Price/earning and Price/sales, for both trailing 4 quarters and future 4 quarters. I don't like to get into anything that has a high price/sales ratio regardless of the growth, P/e is less important. Of course, a tiny company growing fast deserves a higher metric, but one must take into account the laws of big numbers and exponential growth when looking at larger companies. chic