It's true, Michael, that operating eps are increasing! One nice wild card, other than KM everyone is excited about, is the upcoming trial with Mitsubishi. If AXC is willing to gamble $3M on a trial, then the pot they're fighting for, and Mitsubishi is fighting against, must be pretty big. It'd be a nice shot in the stock's arm to have a nice big fat settlement. Also, other similar manufacturers usually fall in line and pony up w/o too much fuss after the first big manufacturer loses, so presumably a nice first win over Mitsu will open the royalty floodgates again. And that's even without the big "virtual disk" storage market AXC is increasingly addressing which is only going to get going stronger and stronger as hi end storage capacity needs continue exploding.
However, as to the price, if the market goes down, AXC probably will too, UNLESS there's KM news (or more realistically, rumors among the big money will do the trick just fine). We could have a major bull market in AXC even on a black monday if good KM news leaks out or is finally put in a press release. Either way, AXC is a buy from these levels, tho I don't doubt we could see Hi 6's again with any sort of broad market stumble before KM agreements get signed. General prediction from AXC's 10Q's seems to be that we'll hear something, Y/N, by end of year or early next year? |
