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

To: Gottfried who wrote (25310)	10/15/1998 1:52:00 AM
From: 16yearcycle	Read Replies (2) \| Respond to of 70976

.50? No idea. I suspect the numbers will pick up by summer, but I haven't had a clue about the business turn. Some of my close confidants in the hardware and software industry tell me the y2k issue is being used to keep there technology budget growing in 1999, despite slowing profits. In other words, projects that aren't primarily y2k, are being held out as related to y2k spending. Overall i.t. budgets will grow, as much as ever, and then the managers can say that in the next year, 2000, that they need to ramp up spending in the areas that were overlooked in 1999. Any comments?

To: Gottfried who wrote (25310)	10/18/1998 12:10:00 PM
From: 16yearcycle	Read Replies (1) \| Respond to of 70976

OFF TOPIC; Sorry for taking space; can't seem to post OFF TOPIC to private mail. The counter to the previous ugly post: Silicon Saturday: PeopleSoft, Yahoo!, Javelin Systems, Nextel By Brian O'Connell PeopleSoft If you're like Bill Schaff, it's not hard to get excited about PeopleSoft (PSFT:Nasdaq). Schaff, co-founder of Bay Isle Financial Management in San Francisco, downplays the importance of the company's recent stock slide. It's down 64% from its April 20 high near 57 and down 47% for the year. "I expect PeopleSoft to weather this financial storm and rebound strongly in the next upturn," he says. Schaff says the company's problems -- like those of many enterprise software companies -- are short-term. Revenues from Y2K compliance software should be rolling in soon, and PeopleSoft's price-cutting campaign to stave off competitors like SAP (SAP:NYSE ADR) is only temporary. "PeopleSoft's share price has been hit hard because the company is under pressure to cut prices to compete with SAP, which is attacking PeopleSoft's dominant position in the market for human-resources and public-sector applications," said Schaff. "But SAP hasn't been successful enough to justify the precipitous decline of PeopleSoft's share price." "The stock trades at 23 times next year's consensus earnings of 91 cents. Yet, PeopleSoft is increasing its revenue and earnings more than four times as quickly as some industrial companies that are selling at similar price-earnings multiples."