mini-bubble
I guess jeremy_zawodny was right about the mini-bubble that is happening in the tech industry. All the companies are looking out for people to hire, Lots of new VC funding is going out, and most of all the the stocks are going up. Today Yahoo ( YHOO ) hit $30 mark. ( I never thought it would ever hit 30 so soon ). Ebay crossed the $100 mark and Amazon is doing around 30’s.
Oh well, all my stock is not toilet paper afterall 🙂
valuation?
What is a fair valuation of a stock is debatable topic.
So i wouldnt call it a bubble unless i knew that they are valued expensively!
Remember companies are just as likely to fudge profits down
(microsoft) down as are they to showm more profits (enron).
The only model I trust for valuing stocks is the dividend
discount model,
“The present value of a stock is the sum of all its future dividends discounted to present value.
“
but how do you value companies that dont
pay dividends? Remember what you seen on a balance sheet or
P/L statement is easily manipulable.
Dividend is real cash paid out by the company,
dividend cant be fake, so it is the only real number you have on any company you are looking at. (excluding some evil companies that announce dividends but never pay them!)
Bush is doing the right thing in abolishing dividend tax.
The only ones to benefit will be serious investors.
Now companies will have no excuse to not pay dividends and we will have a better way to value them.
Incidentally indian stocks bought this year are also exempt from dividend tax. I am buying more pnbg.bo at a dividend yeild
of near 10% (tax free!)i cant lose.
http://in.finance.yahoo.com/q?s=PNBG.BO&d=d
Don’t count your chickens before they are hatched and don’t value your stocks before you have sold.
Keeping fingers crossed.
All the companies are looking out for people to hire
Im keeping my fingers crossed.
I dunno if u r interested(I think I will take that risk)….I was going thru ur journal and hit upon the “giant robot” post…..was instantly hit by a storm of memories and did some searching and found some sites u might like (I do this as a “thanx” for all the memories):
http://members.tripod.com/giantrobo/sokko.htm
http://www.stomptokyo.com/otf/Johnny-Sokko/Johnny-Sokko.htm
and all this from a simple search:
http://www.google.com/search?hl=en&ie=UTF-8&oe=UTF-8&q=sokko
thanx again….
(PS-Mr.deepu….apparently the kid’s name is Johnny Sokko…
incidently…how I found all this was thanx to the file names of the pics u posted)