trailing pe.... you may or may not have a point, but not sure what that accomplishes since stock market is forward looking.
I did not invent this game nor I have any contol over it. Just playing it to try to make a buck for myself, voodoo accounting and all.
For myself, I do tke GAAP earnings into consideration. I don't like to see tech companies run like banks, which was what brcm was last year. I am glad to see that they have materially changed their ways last Q like they had been advertising for over half a year. With their exceptional product portfolio and amazing executions, coupled with what my guess is a huge growth year for semis, I think brcm is a buy at this level and is a keeper.
It is really scary!! when you have 3rd grader like Minor7314 who can't even read basic financial analysis babbling on the board. That's why I make my own buy/sell decision.
Minor7314 - go get your calculator: 2010 projected earnings: $1.97 Now enter today's price $31 (just make it simple); now press the button that says divide (some calculator has /). Then enter $1.97, what do you get? Go read some basic finance or investment book before you make a fool of yourself.
You are looking at the Analsts estimates to get the 1.97 per share. do you know that they do not include the cost of Management stock options as an expense. The $ 1.97 is what goes to shareholders in the way of retained earnings and what goes to management to compensate them.
I believe that Management gets most of that amount rather than shareholders.