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

To: Jim Mac who wrote (129)	1/17/1998 1:06:00 AM
From: Jim Mac	Respond to of 199

I find it interesting how arbitrarily "the market" values certain companies. Is there any objective reason to value CLEC's on revenue? The only honest, even-handed way to value all stocks is on owner earnings. That way, all stocks are treated equally. For months now, I've listened to Mr. Fabricatorre insist CPTL should be valued on a multiple of revs, just like other CLEC's are. Is he implying CPTL should be valued as irrationally as these other issues are being valued? A high P/E multiple for a recession-proof, recurring revenue CLEC, with excellent customer retention, ROE, growth qualities is understandable, but simply to say CPTL should be valued on revs because other CLEC's are is to say we should all play the same game, even if it makes little sense objectively. I'm sure "investment pro's" will disagree with me, especially those who are pushing the stock. But if it happens, I won't complain.