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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: 16yearcycle who wrote (17276)	3/6/1998 8:58:00 PM
From: Proud_Infidel	Read Replies (1) \| Respond to of 70976

Gene, On the surface, yes it appears INTC should be trading lower(probably the 60's as you stated). However, KIM that at this point earnings are being ratcheted down and have been for some time. I think INTC's eps consensus(someone correct me if I am wrong) is in the 3-3.5 range for FY98. Personally, I was surprised to see the bounce after 75 yesterday. I had thought we might take out the low of 69 st some months back....in another market environment it would have been. But during these past few months we have run up and many who are buying the large multinationals (the ones with the most overseas exposure) are acting as if SEA does not exist. This has been a perennial problem IMO during the bull market run we've had these past few years. The big names can never be overpriced, or so the logic goes. But Coke derives 80%+ of it's operating income from outside the USA and much of the future growth that has been assumed into the price is from SEA. If these countries do not contribute, we could see the end(temporarily) for many of these big names since both top and bottom line growth will contract or flatten out entirely<gasp!>. I have been saying it would happen for some time now. Only my timing was waaaay off. I don't know if I even made a point<GGG> BK