From: dlv@bwalk.dm.com (Dr.Dimitri Vulis KOTM)
Date: Sat, 10 Jan 1998 09:31:08 +0800
To: cypherpunks@toad.com
Subject: Re: In God We Antitrust, from the Netly News
In-Reply-To: <v03102800b0dc2d3e93db@[207.167.93.63]>
Message-ID: <55e3ie25w165w@bwalk.dm.com>
MIME-Version: 1.0
Content-Type: text/plain



Tim May <tcmay@got.net> writes:
> AMD is now trading at $18. Five years ago it was trading at the same price.
> In fact, it's been a narrow range between about 20 and 30 for most of that
> time, briefly blipping up to 40 before dropping back to the level it was
> half a decade ago. In fact, it's where it was in 1983, 15 years ago. (Check
> the charts.)
>
> Meanwhile, Intel has moved from $15 to $72 (today's price) in 5 years, and
> from something like $2 (or less, as the charts don't go back to '83 for
> Intel), up a factor of 30 or more times.

This is not the way to compare 2 stocks. Let me illustrate this with
a numericl example.

Stock A has been trading at about $10 for the last 10 years.  Every year
it paid $5 in dividends. (OK, so why is it to fucking cheap)

Stock B has appreciated from $10 to $20 over the last 10 years.

Which has better total returns?

---

Dr.Dimitri Vulis KOTM
Brighton Beach Boardwalk BBS, Forest Hills, N.Y.: +1-718-261-2013, 14.4Kbps