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

To: Joey Smith who wrote (41236)	12/1/1997 4:41:00 PM
From: Tom Kearney	Respond to of 186894

I agree. For me, the low P.E. provides a safety net. For example, I'm a big ORCL fan, and was once a heavy investor. But, their growth is probably going to slow and with a P.E. near 50, a 50% pull back in a weak market is quite possible. Even mighty CSCO, with a bad quarter could drop a ton in a weak market. INTC is so under priced its ridiculous! It probably won't triple as PSFT could over the next year or so, but at this price, it is a dead solid lock. Big part a winning, is not losin'. I got pieces of some of them other guys, but INTC is my baby. And of course, as a long term holder, you don't have to talk to the taxman anytime soon about that part of the investment that's not in the IRA. Regards, Tom

To: Joey Smith who wrote (41236)	12/1/1997 4:44:00 PM
From: Thomas J Pittman	Read Replies (2) \| Respond to of 186894

Joey and All, After having hung out here for about 2 years, this is one of the posts that, in one form or another, seems repeated with regularity.....that Intel is not accorded the same multiple as cisco, msft, dell, ...... I guess at this point i am just resigned to the fact that intel is not going to be. The PE just doesnt seem to move beyond its 9-20 range....at least i dont think it has over the last few years, and I am really not thinking you are going to get to point where Intel trades at 30x year ahead estimates. It would be nice, i guess, but i wonder if i would even hold through that...i would probably be gone at 25x. i dont know whether it is the 'high capital costs' arguement or the 'cyclical industry' arguement or what, but i really think intel is not due for much in the way of multiple expansion anytime soon. I remember purchasing shares at about 10x trailing earnings back in early 1996 (i think). At that point a case could be made (which is why i bought) but the only case was that it was a the low end of an historical range....not that the range would expand. Not really sure where i am going, i guess, except this: I think that Intel is not going to undergo any significant multiple expansion unless there is some drastic change in its business model to account for it. Meanwhile, its earnings growth is likely to account for the lionshare of any price movement. My own expectation is that the PE will range from about 16 to about 20 unless or until the model changes or the market truly tanks. Thanks, J

To: Joey Smith who wrote (41236)	12/2/1997 7:11:00 AM
From: Ibexx	Respond to of 186894

Joey and thread, From InfoWorld: ______ Intel looks to 'lean' clients By Dan Briody InfoWorld Electric Posted at 2:31 PM PT, Dec 1, 1997 Intel will make its highly anticipated entrance into the thin-client computer marketplace Wednesday with the announcement of yet another hardware specification for "lean clients" to be used in server-based computing, according to sources. The system is being described as a diskless workstation by industry sources. Intel refused to provide further details on the announcement. The announcement signifies the final piece of the thin-client puzzle and completes a major shift in enterprise computing, which now counts Microsoft and Intel among its proponents. "There is a sense of Intel needing to play in that space," said Roger Kay, an analyst at International Data Corp., in Santa Clara, Calif. "This is them saying that we will serve this market." Details on the specification won't be available until Wednesday, but PC makers and thin-client vendors alike are currently mulling the reference profile and making decisions on whether to support the specification. Intel will announce a number of supporters, including several different OS vendors, along with the official release of the "lean-client" specification. Intel's message will be interoperability and flexibility with the new platform, which is being called Intel's version of the network computer by some sources. With the assurance of interoperability of the new systems with existing and future PC platforms, IT managers will be able to mix and match in the enterprise, depending on users' needs, and still feel confident that all of the systems will work together seamlessly. exchange2000.com _____ My speculation is that this may have contributed to INTC's surge--the magnitude of it--yesterday. Ibexx