Recent

% | $
Quotes you view appear here for quick access.

Microsoft Corporation Message Board

  • samalander1 samalander1 Apr 3, 1998 11:18 AM Flag

    overvalued

    Typical software company story....stock runs high on idealism and is fueled by illusion of ever-increasing demand and market.
    Its like the commodity market!

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • its a riot-and if you try to explain about caught shorts they telll you that is not a proper investment yardstick. I agree with your priniciple.

    • ... I'll try to do that, but, springtime is comin' to the Tundra, and fishin's about to open up big time again, so I'll have limited time. I'll give it my best. I know DD's got his hands full here, but so do I at AOL! I bought back in; am ahead again about 15%... the thing just takes-a-lickin'-and-keeps-on-tickin'! (that'd make a good advertisin' motto, don't ya' say?)...

      Hope your prospering... Certainly are on your MSFT!

      Good luck and good fortune!

      Fletch principle... when shorts get quiet, markets' about to correct! Listen closely!

    • > Typical software company story....stock runs high on idealism
      ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
      > and is fueled by illusion of ever-increasing demand and market.
      > Its like the commodity market!

      Sorry to contradict you, but since when did a 225.2B Market Cap
      company become your "typical software company story", I think
      you are trading on the wrong market. Even if the PE is high at
      least this company keeps posting earnings.

      • 1 Reply to heathcliff_2000
      • MS earned $1.50/share last year. They are projected to earn $1.65
        this year and $1.98 next year. That's 10% growth last year (1.65/1.50) and 20% next year (1.98/1.65). If we assume the
        higher rate (20%) and go out a few years, we see earnings in 1999 of $2.37, 2000 of $2.85, 2001 of $3.42, 2002 of $4.10 and so on
        to $10.21 in 2007. And no dividends along the way. So - if growth remains torrid at 20%/year, in 10 years your $93 investment
        will have returned nothing and be in a position to earn $10/year. For sales to keep up, MS would need to sell $67 billion / year
        or about $250/year for every man, woman and child in the US.

 
MSFT
56.90-0.53(-0.92%)Sep 26 4:00 PMEDT