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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: michael modeme who wrote (44495)	4/15/1998 6:03:00 PM
From: username	Read Replies (1) \| Respond to of 61433

Your math is correct. That dude is a bonehead! Anyone who wants to see it in action; take the first earnings number (let's say it's 25; any number will work) and add 8% 4 times, in other words 25 + 8% + 8% + 8% + 8% = 34.012224. The difference (34-25) is 9, so divide 25 into 9 (9 divided by 25) and you get .36, the annual percentage growth. I have a story about an analyst I talked to one time. I knew more about the stock than he did, and I was not an expert on the stock. These dudes get paid for their advice. Amazing, and another reason I like to do my own homework. Thanks for pointing it out. pete