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Technology Stocks : Altaba Inc. (formerly Yahoo) -- Ignore unavailable to you. Want to Upgrade?

To: Bob Kimball who wrote (10972)	6/7/1998 5:35:00 PM
From: Reginald Middleton	Read Replies (1) \| Respond to of 27307

<David, not debating the ludicrous valuation! BUT, there is a big big crowd out there who refuse to see that the "perfect world" scenario has died and along with it the big momentum moves that go with it's star story stocks. So, this crowd will try their darndest to move YHOO up on earnings. The earnings will easily far surpass last quarter's, and that's what the rose-glasses bunch will key on hoping for a repeat of the spring.> Earnings and analyst's earnigns predictions are not the least bit predictice once it comes to Yahoo's market value, hence its share price. For the last three years, YHOO's EPS have exhibited an 8.90% correlation to market value while its sales per share exhibited a 94.80% correlation. It is a myth that the market follows earnings and earnings per share. It is y opinionthat individual investors would do better if they were aware of that myth. If you are interested in seeing the numbers behind my assertion, feel free to look in the lower right hand corner of rcmfinancial.com . There are several other companies analyzed as well, none of which show EPS as having a high (relative to other measures) correlation to market value.