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Technology Stocks : HAUP - Hauppauge Digital
HAUP 0.01220.0%Oct 31 9:30 AM EDT

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To: Don Roberts who wrote (1089)2/11/2000 12:24:00 PM
From: WTMHouston   of 1149
 
I generally like HAUP, and it has sure had a nice run, but the earnings are not as "true" as they look at first blush. Most of the EPS gain was from the significantly reduced taxes, not from operations. Without the tax benefit, EPS would have been .27 and .24, fully diluted.

The point is that one should not expect similar percentage jumps in future EPS based on the percentages of this earnings report. In effect, the reduction in tax obligation is a one time event. Since it has already happened, future earnings will have to grow based on operations and margins.

Troy
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