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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Eric.sun who wrote (16550)	5/21/1999 11:24:00 PM
From: E_K_S	Read Replies (1) \| Respond to of 64865

Hi Eric - Based on the earnings estimate for '99 and 2000 the growth is 20%(ie.$1.40 vs $1.68) with a forward looking PE of 35.This is a bit high based on the current growth target. IMO the growth will be higher and eventually the market will price the stock to reflect the new revenue streams from their service and and software divisions. If SUNW acquires CSC, the free flow cash flow and 35% growth will justify a much higher PE going forward. I am looking to see how our management is going to exploit their AOL partnership. SUNW could obtain a much better position if they focus on their service alliances so they can build those WEB based applications for their top 1000 customers. The future growth and higher margins are in the integration of SUNW's hardware products with end-user applications and the day-to-day maintenance of these systems. CSC would be an excellent way for our company to accomplish this in Internet time. EKS

To: Eric.sun who wrote (16550)	5/22/1999 1:00:00 AM
From: Stormweaver	Respond to of 64865

Based on 6/99 estimates SUNW PE will be 44. The 56 I posted was retrieved from investor.msn.com; current one they display is 52. The msn site has nice charting abilities; the only reason I use it.