I know there are plenty here that poop on the M42 being turbo'd.
http://umsis.miami.edu/~amurias/M42/DSC00109.JPG I came across a guy selling bits of his "kit" on a 318is. He has run deep in the 11's at the strip, using a piggyback fuel managment unit.
Some searching on clubm42.com also relieved a few people who have done pretty decent work with a turbo setup.
Waiting for some dyno graphs, but 270whp at 14psi running a 16g green (FP turbo) on an internal gate isn't to shabby at all.
Guy states the head will lift at 9psi on the stock studs, and 14psi is about the limit of the off the shelf ARP hardware....but that the bottom end is nearly bulletproof with proper tuning. The low 11 run was accomplished on 26psi and custom head studs.
He runs sequential injectors (8 of them) to help with driveability. That is a function of the piggyback EMS not being accurate enough to control big injectors. A MS2 or the new MS3 will be able to control a large injector for proper fueling.
Honestly it almost seems like a fun way to go. Everyone does a M or S swap in the car, and some add boost. Of course, 400whp is pretty easy to make on a m50 as well.
How much heavier is an M50 than the M42?