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Technology Stocks : Corel Corp.

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To: Blue who wrote (23)4/23/1997 10:35:00 AM
From: A. Hayer   of 9798
 
Investor sentiment won't change for Corel unless the company switches to US GAAP.

When the switch occurs and the one time WP charge is out of the way, gross profit will be around 78% and net income around 15% of sales.

If 12 month sales after the write-off is say $500M, then net income will be $1.04/share.

Use whatever P/E multiple you want, I think we will be higher than the current price 12 months after the write-off.

ah
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