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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: StanX Long who wrote (62145)	3/15/2002 12:25:49 PM
From: Gottfried	Read Replies (1) \| Respond to of 70976

Stan, where did you get the PEG? Here are some breadth indicators, FWIW stockcharts.com G.

To: StanX Long who wrote (62145)	3/15/2002 8:21:45 PM
From: Sun Tzu	Respond to of 70976

For cyclical industries PEG is rather misleading, unless it is normalized over the cycle. My back of the envelope way of comparing stocks is this [OM/PS * ave sales growth * next year's sales growth estimate]. Since the object of the game is to make money, I don't normally care which industry the companies sorted by the above formula belong to. But, if I wanted to pick from within the same industry, then I'd divide the above value by the corresponding industry value so figure out which stocks within the industry are undervalued. All this of course is a starting point. There is so much more that you have to take into account. And even then the market is full of unforeseen events that turn all the should/could/woulds in the world into should haves/could haves/and would haves. Hence the need for constant reevaluation and TA. have good weekend, ST