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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: gdichaz who wrote (8400)	3/19/1998 10:31:00 PM
From: Carl Wysocki	Respond to of 64865

Chaz, no one comes close to MSFT in earnings management. I'm convinced they can shut down operations for a quarter and still deliver the concensus eps for that quarter by playing with the deferred revenue line. Here's an interesting, and, I believe, an awfully insightful valuation comparison to run (but only if you are really in for the long run). Take your favorite-or least disrespected--analyst's assessment of the server/storage business for Sun and compare that to EMC (the business/financial attributes are similar in my mind). Last time I ran these numbers, just that portion of Sun's business was larger than EMC, but SUNW was valued lower than EMC, indicating that the rest of the company's operations had negative value. Hmmm. Of course, your mileage may vary. I've noticed many people here, myself included, really despise analysts. But, in reality, they do provide a valuable service. I pay close attention to their facts, but usually differ with them on their interpretation of those facts. That's what can make these short term blips very profitable, if you have the courage to act upon your own conclusions. Carl