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Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?


To: American Spirit who wrote (79738)7/8/2001 10:46:47 PM
From: puborectalis  Read Replies (1) | Respond to of 99985
 
Q: How do you know if a lawyer is well hung?

A: You can't fit a finger between the rope and his neck



To: American Spirit who wrote (79738)7/9/2001 1:08:07 AM
From: iod_sherwood  Read Replies (2) | Respond to of 99985
 
EMC range 4-6 cents. give them 6 cents for the benefit of the doubt
multiply by 4, assum they can maintain this..., 24c... give them more benefit of the doubt, give htem 33c 4 qtrs.

trading at 20, do the math, forward PE of 60 assuming they make 33cents over the next 4 qtrs...

60 PE...

that means it takes 60 years before EMC will make back the money u put in it...

seems lame if u ask me.. 2.5 generations...

use rule of 72... that's such a horrible return...

yes, you're discounting a lot of future "growth"... but really.. t'is still a bubble...

and since we're enroute to validating that theory... i say the downside will be far worse than we're willing to recognize...

for a 20-25 PE to happen off those numbers... we may see EMC bottom around 8-12... nasty :)

have fun!



To: American Spirit who wrote (79738)7/9/2001 8:53:57 AM
From: majaman1978  Respond to of 99985
 
A.S. personally I like the energy sector, notice that reserves fell by 4 million bbls last week and you didn't hear a peep about it from CNBC. Looks like OPEC might finally have more control over production than in the past.
As far as the market direction my opinion a few months ago was we would see mundane markets with little volatility over the next few years as more and more (newbie) people realize that it's no longer a guarantee to make fast money.
I think we get back into a similar market like in the mid '70's.
As far as the "bubble" theory I believe that valuations are still way to high to justify the Dow over 10K and the NAZ over 2K but again it's only my opinion and is based on past experience.