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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Howard Feinstein who wrote (26116)	6/4/1999 2:58:00 AM
From: jach	Read Replies (3) \| Respond to of 77400

CSCO has 1.6B (BILLION SHARES) outstanding and after split it will have an astounding 3.2 BILLION SHARES outstanding. In contrast, the giant IBM has only 1.8B outstanding shares. CSCO last qtr revenue was around 3B$. Therefore, assuming the very highend of 8 times revenue calculation gives CSCO the price of 12x8/3.2 = 30$ after split (or 60$ before split). All imo. Look at IBM, their revenue last qtr was around 20 Billion (yes, 20B and that is like 7 times of CSCO); IBM fair price based on the same high-end 8 times revenue will be: 80x8/1.8 = 350$. So, IBM right now is dirt cheap based on the same calculation. No wonder IBM is going up and up and looks like will go up a lot more. All imo-