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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?


To: jim kelley who wrote (8583)11/5/1997 1:55:00 PM
From: Matt Kaarlela  Read Replies (1) | Respond to of 97611
 
Jim,
I'm just your average investor (I hope) so here is how I came to my conclusion. My earnings database produced the following average EPS (earnings per share) info based on estimates from 34 separate brokers:

qtr Sep 97 EPS=conpac .71 dell .65
qtr Dec 97 EPS=conpac .84 dell .73
yr Dec 97 EPS=conpac 2.68 dell 2.51
yr Dec 98 EPS=conpac 3.40 dell 3.33

Using a per share price of $68 for Conpac and $85 for Dell, this gives EY (earnings yield) of:
conpac 95.8, 81.0, 25.4, 20.0
dell 130.8, 116.4, 33.9, 25.5

I won't waste space with other factors I based my decission on but this was one factor that I felt made Conpac the better buy. I'm always open to contrasting views, tips, etc... Good investing to all