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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Robert O who wrote (140985)	8/7/2001 3:00:27 PM
From: pgerassi	Respond to of 186894

Dear Robert: Is your English or American reading comprehension that poor? If the SEC forces companies to drop Pro Forma reporting, would the number bandied as Intel's PE ratio goes from 60 (must be using the $0.12 number) to 250 (using the $0.03 GAAP number) not cause any consternation for "gimme the bottom line" people? Many of the derived numbers for Intel are using these Pro Forma numbers as the basis. The fundamental numbers that people look at in these quick and dirty views would be revised by 4 to the bad side. Do you think there are few people who would get out if the lower (or higher, if higher means worse) numbers were substituted? Granted some of them may be mitigated by a big campaign but, I suspect that the number is not small and would shock Intel's share price. Just look at how strongly you hang on to the higher Pro Forma number. It must be worth something for you to hang on to it that much. Now you are a savvy investor (at least better than 90% of the general public), what do you think that hang on may be worth to those who have far less savvy than you? I think that the lower number would shock 50% of those 90% non savvy investors. 1% of Intel investors panic selling could halve the price in a day or two. The problem with Intel's currently high valuations is that a small trigger (even a seemingly insignificant one) could generate a crash in valuation. You should be worried about that, I am. And not just in Intel. I include all of those other companies that do it as well. Intel and the others should wean themselves off of using Pro Forma numbers. Pete