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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: cfimx who wrote (14235)	4/3/2002 5:04:55 PM
From: Wallace Rivers	Read Replies (1) \| Respond to of 78731

BMY redux - I've had so many posts on this one, and each time, I've avoided the temptation to catch this falling knife. It is now trading down about 11% from the NY close in the aftermarket, at about $33.50. Earnings will be down 25-30% yr./yr. That equates to $1.69-$1.81. I wouldn't be surprised to see BMY break 30, where it would still possess a 17 multiple on forward earnings. What might prop it up to some degree would be a juicy (that's relative) 3.7% yield at 30. The dividend IMHO can be supported even with substantially reduced earnings. Still wondering where the bottom is for this pharma giant. Another wild card is that some vulture will come in there, thinking that this is the bottom, or pretty darn close.