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To: Mark Marcellus who wrote (96780)4/20/2001 12:36:58 PM
From: limtex  Read Replies (3) | Respond to of 436258
 
MM - Supply and demand. Although often overlooked in "valuation" analysis these two simple components underly all P/E ratios.

A P/E of say 6 is no more or less valid than a P/E of 200. What gives each of them validity is simply the willingness of a buyer of stock to pay the relevant price.

Since demand outsrips supply in relation to growth stocks and is expected to conitnue doing so for many years to come I expect the price to rise.

Now I have no knowledge whatsoever of TA so I can't speak to that.

L