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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Paul Engel who wrote (38923)	11/4/1997 11:28:00 PM
From: mister topes	Read Replies (1) \| Respond to of 186894

Intel is worth between 60 and 72 based on estimated 1998 earnings of four dollars per share. Price earnings multiple range of fifteen to eighteen makes sense given historical norms for this stock in recent years. Recent rise to 102 was irrationally exhuberant and excessively optimistic. Also, many clueless investors bought the stock on the way up and are only now learning that they paid way way too much for this stock. Shares have been vastly underperforming the market for weeks and are already down 28% from recent highs. But hopefully greedy Intel buyers will learn the lesson of their wayward ways. Imagine paying over 20 times earnings for a company that has very limited earnings growth prospects ahead.