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To: chic_hearne who wrote (85261)	3/25/2001 8:51:38 PM
From: marginmike	Read Replies (1) \| Respond to of 436258

Yes if I looked at any stock and didnt fully understand the dynamics of the Business I shouldnt be investing. I find your position somewhat hypocritical when you defend IBM which I think is the REAL flying PIG. Your view of overall valuation's might be well and true, but in realitive terms Qcom is the stock to own when the PE's are unwound. As for book value, it is a very subjective number. Qcom makes 600 million on its Patent portfolio, what is the real book value of those assets? I dont know but its not reflected in the level of the book value. When I bought Qcom it was selling at less then 1X revenues and had a forward Pe of 100, now it has a forward Pe of 30 and its 10X sales? What is the right way to go? I buy many types of business's, I dont buy based on their revenues I buy on their Income after expense. We can run in circles all day but Qcom will make 1.40 in 2001 and has a huge potential for growth and a Pe arround 40 they will maintain growth of 30-35% based on a very conservitive growth in CDMA subs. On the other hand IBM will grow 10-12% has a 23Pe and is in a business that is way past its prime. Those estimates are the only within PC/CHips that havnt been lowered. They have three times the market cap and much worse visability. In my opinion Qcom is a much safer investement.

To: chic_hearne who wrote (85261)	3/25/2001 8:54:47 PM
From: marginmike	Respond to of 436258

By the way IBM book is arround 8 and Q arround 8, Is Ibm's book a realistic number either?