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

To: Art Bechhoefer who wrote (118801)	5/15/2002 10:30:05 AM
From: GO*QCOM	Read Replies (1) \| Respond to of 152472

"The best measurement that I have found useful in evaluating growth stocks like QUALCOMM is net change in book value per share. This doesn't take into account the value of the patents but it relates to them because it shows the effect of the patents over time."That said what is your impression of QCOM's growth potential over the next few years?

To: Art Bechhoefer who wrote (118801)	5/15/2002 4:15:33 PM
From: Maurice Winn	Respond to of 152472

Art, good points and I'd go further and say that QUALCOMM's P:E is irrelevant for valuing it in the future. That's because future value has little association with past profit, other than that the past financial performance shows what the management are capable of achieving and that they have done it now for 17 years in the QUALCOMM incarnation, following a couple of decades before that of high quality performance. Patents, future demand, R&D value do NOT show up in the E component of the P:E ratio. Since the technologies have been shown to be of vital importance to humans - all humans, not a motor-racing crowd or ice-cream eater's fan club or some other narrow interest, future demand is obviously the main issue and prediction of what technologies will be offered and what competitors will be able to come up with [and all the other variables which will impact on QUALCOMM in future]. The P:E offers no information on that. Mqurice