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

To: Sam Scrutchins who wrote (13844)	5/19/1998 8:12:00 PM
From: Phillip C. Lee	Read Replies (1) \| Respond to of 213182

<<I'm beginning to wonder if this will happen. The analysts have had plenty of chances to upgrade Apple, and they have missed the doubling of the stock price. Many may be worried about the computer sector in general, especially in what may be the last gasps of a bull market. Moreover, Apple has basically delayed its introduction of a Rhapsody-like OS for another year or so. These analysts may view this as an indication that Apple will not continue to perform well (I happen not to believe this, but I could understand such a perspective).>> Sam, My belief on analysts' upgrade on Apple was based on the fundamental data as follows: biz.yahoo.com The estimate of Q3 net is $0.34, Q4 net is $0.41 from street's analysts. Hence, it'll be $1.46 in '98. With current price of $29.375, PE becomes 20.12, which is the lowest one in the same group. Besides, analysts should know better than us if they are qualified as the providers of estimates to IBES, First Call. They even know there is going to be a big surprise in the current quarter(Q3) by another 100%. For next quarter(Q4), it probably exceeds 100% surprise due to iMac available in August. If they still stick with the current rate, I bet PE will be around 13.45 (if the stock is still at $30, Q3 net is $0.68, Q4 net is $0.82, both are 100% surprise based on the current estimates.) It'll be the funniest and weirdest prediction I have ever seen. The momentum investors will totally count on consensus estimates for Apple and other tech stocks. Therefore, pressures from investors will push analysts to look into more details regarding Apple's revenue/net to reflect more accurate stock price. Well, we, as investors don't need to do anything but wait that moment to come. Phil