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 : Apple Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Phillip C. Lee who wrote (13289)	5/10/1998 3:05:00 PM
From: Richard Habib	Read Replies (4) \| Respond to of 213182

Phillip, our problem is that Apple circumstances are different than the other boxmakers. Even when we get the growth that I think everyone here expects; I certainly do, Apple still may not be awarded a PE much above where we're at. Why, because for every analyst that believes a true PE is warranted there will be 2 on the steet who believe Apple is simply refreshing it's existing base which may or may not still be shrinking slowly, ie. the company is still dying. Given that pure earnings growth should be able to get us into the high 30's, perhaps low 40's. You might notice that implied volatilities of 99 leaps is dropping nearly 5% per week signalling that the street doesn't foresee substantial price changes in Apples future. Rich