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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?


To: Marc Schiler who wrote (16073)2/19/1999 10:28:00 PM
From: MileHigh  Read Replies (1) | Respond to of 93625
 
Marc,

But by your own projected earnings sequence, .30 -> 1.00 -> 2.00 -> 3.00 we see a growth rate which tapers off to 33%. Thus RMBS is worth a PE of 40 in 2001. 3.00 x 40 is $120.

I just threw the $3.00 in there, a few analysts have stated they think they will earn $6.00-$8.00 in '01 or '02. Now go back and calculate a growth rate!?

As far as appreciating my fundamental analysis every now and then, thank you. I helped some of the other posters understand how to value RMBS when they first jumped into the fray, I have since let them take charge of this task <gg>

MileHigh



To: Marc Schiler who wrote (16073)2/20/1999 12:59:00 AM
From: richard surckla  Respond to of 93625
 
>>On the scary side: RMBS has 147 employees. RMBS has a market capitalization of 1.67 billion. That's over $10,000,000 per employee. That's a lot of confidence in what those 147 people will be generating!<<

Only in America. Isn't it GREAT!



To: Marc Schiler who wrote (16073)2/20/1999 12:59:00 AM
From: Dave B  Read Replies (1) | Respond to of 93625
 
Marc,

In MileHigh's original post, he actually had 3.00+, not 3.00. But even an increase from 2.00 to 3.00 would be 50% growth, not 33%.

Dave B