Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: craig crawford who wrote (2299)	3/27/1998 2:18:00 AM
From: Chuzzlewit	Read Replies (1) \| Respond to of 7342

Craig, it depends on your ability to calculate the value of the company. I've repeatedly challenged "value" investors to tell me how to value a growth company, and none could. To come up with a reasonable value you must be able to discount future cash flows for the lifetime of the business at a rate that takes into account the standard deviation of those expected cash flows (risk) at the long-term interest rate. If you can do this I'm all ears! My approach is to simply stay with a growth company so long as the long term growth story is intact. I leave the valuation issues to others. Regards, Paul