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Technology Stocks : SAP A.G. -- Ignore unavailable to you. Want to Upgrade?

To: LindyBill who wrote (2112)	8/6/1998 1:09:00 PM
From: growthvalue	Read Replies (1) \| Respond to of 3424

Lindybill, a 50% premium? That is hard to justify - especially when SAP is growing more slowly and is probably going to have to restate revenues to comply w/ GAAP. I didn't say that SAP doesn't deserve a premium for being a gorilla, I just think that the premium is unjustifiably large. I also don't happen to think it's valid to compare the PEs of "gorillas" in different industries - INTC is a gorilla, should it be trading with a PE of 50? You have to consider the fundamentals of the business itself to determine the appropriate PE.