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Strategies & Market Trends : Stocks Crossing The 13 Week Moving Average <$10.01 -- Ignore unavailable to you. Want to Upgrade?

To: Magnatizer who wrote (2365)	7/28/1998 11:42:00 PM
From: JBH	Read Replies (1) \| Respond to of 13094

Here's something interesting regarding our small caps: The following comes from the latest quarterly report of the Artisan Small Cap Value Fund: 1) According to Prudential Securities, most major valuation measures of small-cap stocks - price/earnings, price/book, and P/E to growth - are now below their levels of the 1990 recession, a very difficult time for small caps. 2) The highly regarded Leuthold Group reveals that the 300 largest U.S. companies have a P/E of 22.5X vs. a P/E of 16.5 for the 300 smallest. This 25% discount is about as wide as the gap ever gets. 3) Smith Barney analyst Keith Mullins tracks the P/E ratio of the T. Rowe Price New Horizons Fund (considered a proxy for the small-cap market) relative to the S&P 500. In 38 years, the ratio has dipped below 1.0 only twice. It is now 1.02 - versus its peak of 2.2 in 1983. Let's partially thank Mr. Bill C. for giving us this great buying opportunity. :) Hope I don't eat my words and this thing gets worse. I'm thinking of adding to my position on this dip in IFCI if it budges up tommorow. Looks like it needs to get through 9 though to move to the next level.