SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?


To: johnd who wrote (23295)5/26/1999 6:29:00 PM
From: djia101362  Read Replies (1) | Respond to of 74651
 
considering the P/Es that are being awarded to internet companies, one of two scenarios is more than likely.

1) msft's P/E will expand to better reflect its net businesses. if this scenario were to come true, i'd say a P/E of 80-100 in 1-2 years is realistic for msft.

2) other net companies like AOL, YHOO and the likes will have contracting P/Es and trade like more normal growth stocks in the very near future. under this scenario AOL is likely headed back to a price of $50 and YHOO is headed back to a price of about $60, and these price are not after any future stock splits.

so take your pick, scenario 1 or 2. personally i'll take scenario 1 but if i'm wrong and scenario 2 pans out, look out below because if you thought this correction was bad, you ain't seen nothing yet.

remember folks, it's never too late to buy msft!!