Go to Jeff Salisbury LWGate Home Page.From: "zillagirl" <zillagirl@email.msn.com>
Subject: Re: [CANSLIM] Cheap?
Date: Tue, 16 Jul 2002 09:35:38 -0700
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Top of Thread: Re: [CANSLIM] Cheap? "J. Lobatto"
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first I don't think that is the same argument- second -I need something a little more concrete to reform my thoughts on, if in fact they are wrong. Thanks though - ----- Original Message ----- From: "J. Lobatto" <jlobatto@nyc.rr.com> To: <canslim@lists.xmission.com> Sent: Tuesday, July 16, 2002 9:14 AM Subject: Re: [CANSLIM] Cheap? > I suspect some Dutchmen made the same argument several hundred years ago at > the height of the tulip craze.... "only 40% of the population owns tulips, > when 85% wants to. Back in the dark ages, only 10% of our fellow Dutchmen > owned tulips. Clearly 40 if not 85% will be the norm from now on, so prices > have to stay high....." I know, you'll argue that tulips had no real value, > but did anyone else read today that Dr. Koop. com which was worth > $1,000,000,000 at the height of the dot.mania was just sold to Vitacost at > about $150,000(?). Ouch! I doubt even tulip prices fell that hard. > > Jon > ----- Original Message ----- > From: "zillagirl" <zillagirl@email.msn.com> > To: <canslim@lists.xmission.com> > Sent: Tuesday, July 16, 2002 11:57 AM > Subject: Re: [CANSLIM] Cheap? > > > > I have a question for minds that are smarter then my own. When we look at > > price to earnings, don't we have to consider the number of people > investing > > in the market today over what it was in the past. I've read > > historically -that in the past- 10 to 15% of households were involved in > the > > stock market. Now I've seen figures of 50% or more. If 35% more > > American households started putting money in the same 10,000 or so stocks > > that existed before-it seems like that would drive up the price, even if > the > > business was no more profitable or productive then before.(supply and > > demand). Possible even keeping the price up if these households kept > > investing(higher P/E ratios) Hence maybe it would be unrealistic to > > think that the correct P/E for this point in time should be exactly in > line > > with the correct P/Es of the past. Unless of course that extra 35% of the > > people got out of the market again. Kind of like saying-the > > babyboomers are here and our mind tells us that we need many more > retirement > > homes- but historically, over the past 75 years, 2 retirement homes per > city > > have been the norm so that is the figure we will stick with. If this > > theory sounds reasonable-it would certainly take some of the fright out of > > those charts. > > ----- Original Message ----- > > From: "Hill, Ernie" <Ernie.Hill@ElPaso.com> > > To: <canslim@lists.xmission.com> > > Sent: Tuesday, July 16, 2002 5:30 AM > > Subject: RE: [CANSLIM] Cheap? > > > > > > > Here is an interesting perspective on PE ratios the S&P and what is or > is > > > not cheap. > > > > > > http://www.decisionpoint.com/ChartSpotliteFiles/020712sppe.html > > > > > > E > > > > > > -----Original Message----- > > > From: inderjit [mailto:inderjit@adelphia.net] > > > Sent: Monday, July 15, 2002 10:36 PM > > > To: canslim@lists.xmission.com > > > Subject: RE: [CANSLIM] Cheap? > > > > > > You can easily ;-) find out what a stock is worth by visiting > > > http://www.valuepro.net/index.shtml. AOL is worth zero, NVR 1800+ etc. > > > > > > Regards and have a profitable Tuesday. > > > > > > > > > > > > -----Original Message----- > > > From: owner-canslim@lists.xmission.com > > > [mailto:owner-canslim@lists.xmission.com] On Behalf Of zillagirl > > > Sent: Monday, July 15, 2002 7:51 PM > > > To: canslim@lists.xmission.com > > > Subject: Re: [CANSLIM] Cheap? > > > > > > > > > I emailed Mr. Tom Petruno at the L.A.Times today and asked him if he > > > could clarify the differences in he's figure and the figure on the 2 web > > > sits discussed-will let you know what I find out. > > > ----- Original Message ----- > > > From: "Fred Richards" <adrich@gte.net> > > > To: <canslim@lists.xmission.com> > > > Sent: Monday, July 15, 2002 3:42 PM > > > Subject: RE: [CANSLIM] Cheap? > > > > > > > > > > the latest www.decisionpoint.com report on the PE ratio for the S&P > > > > 500 > > > for > > > > the week ending 6/12/02 stood at a still whopping 39.60 times! > > > > > > > > -----Original Message----- > > > > From: owner-canslim@lists.xmission.com > > > > [mailto:owner-canslim@lists.xmission.com]On Behalf Of Fred Richards > > > > Sent: Sunday, July 14, 2002 7:55 PM > > > > To: canslim@lists.xmission.com > > > > Subject: RE: [CANSLIM] Cheap? > > > > > > > > > > > > As an neophyte investor, what you are missing is an doubting mind. > > > > > > > > It is the credibility of the estimates that the author is using. > > > > > > > > Does the article state what firm and/or analyst made the estimates and > > > > > > > on what basis they were made and/or the time frame? > > > > > > > > Based upon the most reliable information I have using information > > > > prior to the revamping of the list effective July 19, I believe, the > > > > S&P 500 is > > > still > > > > selling way over 19 times forward 12 month earnings. > > > > > > > > > > > > > > > > -----Original Message----- > > > > From: owner-canslim@lists.xmission.com > > > > [mailto:owner-canslim@lists.xmission.com]On Behalf Of zillagirl > > > > Sent: Sunday, July 14, 2002 7:25 PM > > > > To: canslim@lists.xmission.com > > > > Subject: Re: [CANSLIM] Cheap? > > > > > > > > > > > > There is quite an extensive article in the L.A. Times today about the > > > > markets. In there it states that " the average stock in the S & P 500 > > > > > > > is priced at about 19 times this years expected earnings per share, by > > > > > > > many wall street estimates. That is far above the historical average > > > > price -to -earnings ratio of about 14." I think I like these numbers a > > > > > > > little better. What's up-am I missing something here? > > > > ----- Original Message ----- > > > > From: "Tom Worley" <stkguru@bellsouth.net> > > > > To: <canslim@lists.xmission.com> > > > > Sent: Saturday, July 13, 2002 7:06 PM > > > > Subject: Re: [CANSLIM] Cheap? > > > > > > > > > > > > > I make no investment decisions, or even select stocks for watching, > > > > > on > > > the > > > > > basis of their history. The market, and stock prices, moves on > > > > expectations. > > > > > Those expectations are based on projected earnings, not what they > > > > > did > > > last > > > > > year, or five years ago. > > > > > > > > > > ----- Original Message ----- > > > > > From: "Rocky Sanghvi" <rs@mylodestar.com> > > > > > To: <canslim@lists.xmission.com> > > > > > Sent: Saturday, July 13, 2002 9:41 PM > > > > > Subject: RE: [CANSLIM] Cheap? > > > > > > > > > > > > > > > Lois, > > > > > > > > > > This was one of the news items on the nasdaq.com website frontpage. > > > > > > > > If > > > > you > > > > > wish to see it you need to go to nasdaq.com and scan some of the > > > > > older > > > > news > > > > > items. > > > > > This was was from the Dow Jones News Wire. > > > > > > > > > > Best Wishes > > > > > Rocky > > > > > > > > > > PS Tom - I am not sure why we shouldnt look at trailing earnings as > > > > > a > > > part > > > > > of your overall investment outlook. Yes maybe not CANSLIM (which > > > > > only > > > > looks > > > > > at future earnings) but if we are looking at charts and history we > > > > > may > > > as > > > > > well consider historical facts such as what the news item was > > > > > referring > > > > to. > > > > > > > > > > -----Original Message----- > > > > > From: owner-canslim@lists.xmission.com > > > > > [mailto:owner-canslim@lists.xmission.com]On Behalf Of Lois > > > > > Sent: Saturday, July 13, 2002 9:54 AM > > > > > To: canslim@lists.xmission.com > > > > > Subject: Re: [CANSLIM] Cheap? > > > > > > > > > > > > > > > Rocky, > > > > > > > > > > Would you be so kind as to post a link for the info below? > > > > > > > > > > TIA, > > > > > Lois > > > > > > > > > > Rocky Sanghvi wrote: > > > > > > > > > > > > S&P 500 Price/Earnings Ratio At 37.31, Down From 37.65 > > > > > > > > > > > > NEW YORK -(Dow Jones)- The price/earnings ratio of the Standard & > > > Poor's > > > > > 500 > > > > > > index at the close of trading Friday, July 12, was 37.31. > > > > > > Thursday, the ratio was 37.65. > > > > > > > > > > > > The lowest price/earnings ratio on the S&P 500 came in the second > > > > quarter > > > > > of > > > > > > 1949, when the reading slipped to 5.9. Over the last decade, the > > > > > > low > > > was > > > > > > 15.77 in the first quarter of 1995. > > > > > > > > > > > > The price/earnings ratio, known as the multiple, is a measure of > > > > > > the > > > > > average > > > > > > stock price divided by the average earnings per share. The > > > > > > earnings > > > data > > > > > is > > > > > > based on the trailing four quarters. > > > > > > > > > > > > - > > > > > > -To subscribe/unsubscribe, email "majordomo@xmission.com" -In the > > > > > > email body, write "subscribe canslim" or -"unsubscribe canslim". > > > > > > Do not use quotes in your email. > > > > > > > > > > - > > > > > -To subscribe/unsubscribe, email "majordomo@xmission.com" -In the > > > > > email body, write "subscribe canslim" or -"unsubscribe canslim". Do > > > > > > > > not use quotes in your email. > > > > > > > > > > > > > > > > > > > > - > > > > > -To subscribe/unsubscribe, email "majordomo@xmission.com" -In the > > > > > email body, write "subscribe canslim" or -"unsubscribe canslim". Do > > > > > > > > not use quotes in your email. > > > > > > > > > > > > > > > > > > > > > > > > > - > > > > > -To subscribe/unsubscribe, email "majordomo@xmission.com" -In the > > > > > email body, write "subscribe canslim" or -"unsubscribe canslim". Do > > > > > > > > not use quotes in your email. > > > > > > > > > > > > > > > > > - > > > > -To subscribe/unsubscribe, email "majordomo@xmission.com" > > > > -In the email body, write "subscribe canslim" or -"unsubscribe > > > > canslim". Do not use quotes in your email. > > > > > > > > > > > > - > > > > -To subscribe/unsubscribe, email "majordomo@xmission.com" > > > > -In the email body, write "subscribe canslim" or -"unsubscribe > > > > canslim". 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Previous Article (by Author): Re: [CANSLIM] Cheap? "zillagirl"
Top of Thread: Re: [CANSLIM] Cheap? "J. Lobatto"
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