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Technology Stocks : Praegitzer Industries (PGTZ)

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To: Marc D. who wrote (18)11/22/1996 9:36:00 PM
From: Don MacNeil   of 196
 
Good of you to reply, Mark.

I agree about the "dead money", but I expect that from bargain hunting. Since posting my REFUTE challenge I've learned a few things, though.

I talked with PGTZs investor PR guy, and he was most encouraging, pointing out especially the breathtaking client list that came with the Trend Circuits acquisition.

I asked him to fax me a couple of analysts reports...and that was the eye opener. Yes...growth in the high 40 percentile is expected in the next 12 months, but I never realized how low the average p/es are for industries like these. About 12...damn near banks!

The leader in the field, Hadco, just had a big earnings announcement...their shares have risen about 6 - 7 bucks in the last two days...and Hadco with that is now trading at a p/e of 15! No sex appeal? What's going on here!

So my passion for PGTZ has softened. I might buy in for the coming bounce back, but I'm discouraged long-term. Too bad, I feel, after 5 months of watching, like I really know these guys. I think they're doing a great job.
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