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Strategies & Market Trends : Stock Attack II - A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?


To: TREND1 who wrote (24365)11/17/2001 7:57:11 PM
From: Ibexx  Respond to of 52237
 
Re. buy high P/E and sell low P/E

This works for all cyclical stocks. In fact, it works better for auto stocks.

Ibexx



To: TREND1 who wrote (24365)11/17/2001 8:20:53 PM
From: waverider  Read Replies (1) | Respond to of 52237
 
Larry, I'm really having a hard time putting all this PE perspective INTO perspective. I follow your logic about going with what the market says. It has worked very well. However, at some point the PE issue should matter. How far to we go from here? Until CSCO has a PE of 1000? Just trying to search for answers. Pretty soon the earnings portion of the equation will need to kick in. From what the market is saying at the moment (if your thesis is accurate), CSCO's earnings need to be a burn burner...no? Could it happen that fast?

wr



To: TREND1 who wrote (24365)11/17/2001 8:30:26 PM
From: JRI  Respond to of 52237
 
Larry, you are comparing the current malaise to a normal cyclical correction/recession...in which case, one would buy the high P/E (now)...

Many here, like I, would argue we are into something much deeper and difficult than your run-of-the-mill recession..

Different rules...