Dow is over valued at this price. I am looking at a 10%~15% correction in about 2 weeks. It is not a secret that Dow's stock will go down after every share meeting (this year it is may 8th?). Currently, Dow has holding well in Chlorine business. But Caustic price is still downward, which can be a headache for Dow since they need to get rid of Caustic in any possible way to the market. Polymer side, the market absorbed a little price hike, but the ethlene and oil price hike will make it un-practical to get higher margin. With large capacity come in 2000 by Carbide and other producers, Don't expect any economic improvement will help Dow until year 2002.
Anyway, if these two will not make significant change, Dow's earning will stay same or lower. It make no sense for a p/E of over 20.... SO u figure it out -: ) Sooner or later, the institution will realize that they are buying a utility -:)