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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Mark Fleming who wrote (117718)	4/30/2002 7:16:32 PM
From: sea_biscuit	Respond to of 152472

Those of us who understand this company, can at least make educated projections about the future, which alters the valuation picture. Yeah, yeah. You keep torturing those "educated projections", until they start screaming "Undervalued! Undervalued!" :-)

To: Mark Fleming who wrote (117718)	4/30/2002 7:23:17 PM
From: marginmike	Read Replies (3) \| Respond to of 152472

Ok Ill chime in by historical standards outside of the 1995-2000 year period Qcom is probably way overvalued. In the new era context Qcom is probably fairly valued or a litlle undervalued. A great growth stock in the mid 90's like MSFT(a similear type Gorilla) got from 1-2X growth PE. Assuming Qcom is growing 20%(which it is not now) then a 20-40Pe would be fair value. If we take the 1 dollar 2003 estimates(which are probably a litlle high do to slow China rollout) That would pin Qcoms value right now at 20-40 dollars a share, with a nice 20-30% growth rate in value going forward. I agree that P/S is a tough metric to use, but the fact is most investor's are dilusional in understanding what is "undervalued". Qcom will never grow 50-100% a year, it is a very good buy here assuming it can grow more then 20%, I dont think one could get killed here, because if you have time Qcom will grow into the stock price in the worst case scenario. If it id drop to 19, which is always a possibility, then it would be undervalued. If Qcom growth does indeed accelerate then obvviously the price/E would increase. However anyone who screams Qcom is ridiculously undervalued has been striken with mad cow and needs to see a doctor. If this bear hasnt taught some of you something, it should have taught you that any stock can go to ZERO. Look at ENE and WCOM, LU, etc.