Comments on: Why you should PEG your P/E? http://www.zuberon.com/archives/5 Tue, 06 Jan 2009 01:21:04 +0000 http://wordpress.org/?v=2.6.5 By: Aditi http://www.zuberon.com/archives/5#comment-18 Aditi Wed, 15 Feb 2006 04:27:54 +0000 http://qualsoft.net/?p=5#comment-18 U nerd! U nerd!

]]> By: Vimal http://www.zuberon.com/archives/5#comment-17 Vimal Wed, 15 Feb 2006 04:27:31 +0000 http://qualsoft.net/?p=5#comment-17 Nice article..I frankly don’t know about all these statistics, but i guess one needs to look deeper about differences in service-oriented & technology-oriented companies. More in this case, because INFY/ CTSH relies on these big tech-oriented companies and there is a good amount of coupling between them. Most of the contracts that INFY/CTSH gets is very heavily dependent on growth of companies such as Google/Microsoft/Cisco, depending on how much service they provide to them. Recognizing that, its common sense that if thier clients do well, they are gonna going to do well. So essentially it boils down to the fact that how much i am gonna (trust) invest in these bigger companies, which will eventually drive the revenues of these service-oriented companies. So if i am gonna put my money on INFY, at a deeper level, i am banking on some other companies health, who are giving their business to INFY. Also, the health of serv-orien companies cannot be determined alone by their financial state. You never know what next big contract they are going to get, which will boost up thier revenues. For ex. Wipro just bagged $300 M contract from GE. Even though INFY figures might be better than WIT, the deal is totally independent of that. Its like a volatile variable in C, if i put my programming knowledge to use :) - Another example, CSCO is gonna invest $1.5 B dollars in next few years in India. CSCO has vendor contracts with HCL, Wipro, INFY, and some other vendors. You will be surprised to hear that even though HCL name figures behind INFY/Wipro, HCL is one of the first vendors of Cisco, and probably the biggest bagger of their contracts. Keep your articles coming :) - Nice article..I frankly don’t know about all these statistics, but i guess one needs to look deeper about differences in service-oriented & technology-oriented companies. More in this case, because INFY/ CTSH relies on these big tech-oriented companies and there is a good amount of coupling between them. Most of the contracts that INFY/CTSH gets is very heavily dependent on growth of companies such as Google/Microsoft/Cisco, depending on how much service they provide to them. Recognizing that, its common sense that if thier clients do well, they are gonna going to do well. So essentially it boils down to the fact that how much i am gonna (trust) invest in these bigger companies, which will eventually drive the revenues of these service-oriented companies. So if i am gonna put my money on INFY, at a deeper level, i am banking on some other companies health, who are giving their business to INFY.

Also, the health of serv-orien companies cannot be determined alone by their financial state. You never know what next big contract they are going to get, which will boost up thier revenues. For ex. Wipro just bagged $300 M contract from GE. Even though INFY figures might be better than WIT, the deal is totally independent of that. Its like a volatile variable in C, if i put my programming knowledge to use :) - Another example, CSCO is gonna invest $1.5 B dollars in next few years in India. CSCO has vendor contracts with HCL, Wipro, INFY, and some other vendors. You will be surprised to hear that even though HCL name figures behind INFY/Wipro, HCL is one of the first vendors of Cisco, and probably the biggest bagger of their contracts.

Keep your articles coming :) -

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