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Technology Stocks : WDC/Sandisk Corporation
WDC 187.88+0.1%Jan 5 3:59 PM EST

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To: Ausdauer who wrote (8981)1/30/2000 6:06:00 PM
From: Art Bechhoefer   of 60323
 
Aus and Thread: A very nice estimate, well within reach. Your projection for the stock price may be a bit conservative. It is not too far fetched at this time to look for a doubling in the next 12 months. SanDisk, because it has maintained a strong cash position, will be able to finance its expansion internally, very likely without any further assistance from the issue of more stock or short term debt. This is quite a feat, considering the rate of expansion in capacity anticipated for the new plant in Virginia.

We can make these kinds of estimates without even considering the result of the Lexar patent suit. If that turns out positive, as is likely, the royalty stream will improve.

Art
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