Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : Clown-Free Zone... sorry, no clowns allowed -- Ignore unavailable to you. Want to Upgrade?

To: Mark Adams who wrote (231420)	3/28/2003 8:30:09 AM
From: Mike M2	Read Replies (1) \| Respond to of 436258

Mark, it depends on what you mean by earnings - based upon core or GAAP stocks are not cheap. If you look at Wall St fantasy numbers - pro forma or operating things look better. I can counter the arguments of earnings drag by pointing out gimmicks that boost earnings. Pension fund accounting gimmickery allows comapanies to book an assumed rate of return when in reality the pension fund lost huge sums. ESOP accounting. The trade deficit is a major drag on US corporate earnings because the wage expense paid by US corporations fails to return as revenue for US companies. Mike

To: Mark Adams who wrote (231420)	3/28/2003 8:40:01 AM
From: Mike M2	Read Replies (1) \| Respond to of 436258

Mark, I forgot to add that Wall St's forward looking numbers are promotional hype in an attempt to justify high valuations. If you look at the earnings projections 6-12 months out going back to 2000 - you can see that these projections were consistently optimistic to the point of absurdity. With Wall St earnings projections the next quarter or two show some growth then looking out 3-4 quarters the estimates are turbo charged. When the future projections prove to be wrong they simply repeat the game of prosperity around the corner and the whores in the financial press rarely take them to task on this obvious game. Mike