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.

Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Proud_Infidel who wrote (21284)	7/9/1998 1:22:00 PM
From: 16yearcycle	Read Replies (2) \| Respond to of 70976

OT: "are you selling any of your MSFT at these levels?" You can pry it from my cold, dead fingers. Today it has hit 18.6x my initial good sized, bet the farm stake. It is well overpriced and I would expect it to get as low as 90-95 between now and year end. No matter. I calculate real earnings to be in excess of 2.80 in the next 12 months,(they will show 2.30~). in three years they will earn more in a year then i paid per share for my initial stake. At 2.80, the forward pe is 40. No problemo. I had a rough year with it in 1994, and I am sure it will hurt me again for 12-18 months at a time. But great comapnies have a way of quicly getting the fundamentals up to speed with their overinflated stock prices. This is the lesson of lester with amat which i am trying to partially apply here, too. The problem is that amat has great growth over time but is grotesquely cyclical. But if you just left it alone, you don't care too much if it drops from 54-20, if your price was 4, and you know it has a death grip on its competitors.