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To: Ally who wrote (142)6/24/1998 11:12:00 AM
From: Scott Mc  Respond to of 512
 
Denise, RE P/Sr, yes you have to look at Sales relative to industry, with tech stocks I try to find a P/Sr of about 1, of course a grocery chain is usually under 0.1, while Microsoft is (I think about 8-10 last time I looked)
Ken Fisher's book(Superstocks1984) was a brillant work IMO, without the available data or ease of computer use he was the first to highlight the importance of this ratio, especially in beat up tech stocks and other ratios to do with research and development. O'Shaunessy took it to another level, however he had computers, had data etc...

BTW, Ken Fisher's father Philip Fisher(Common Stocks for Uncommon Profits), Warren Buffet acknowledges him for a large part of his investment stradegies and Ken has a son who is also a published financial author. Quite the family...