Any info about Iomega (IOM)? Message Board

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Non-Tech : Any info about Iomega (IOM)?

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To: JoeG who wrote (4609)	7/18/1996 10:50:00 PM
From: Warren Gates	of 58324

IOMEGA's FAIR VALUE Based on quarter to quarter numbers, IOMEGA is showing a 100 to 150 percent growth rate. Now is this sustainable? Near term, I believe it is. Perhaps capacity constraints hindered the sales growth momentum. The important thing to ask is if the growth is accelarating or not. Today's numbers does not show a loss of momentum, hence the 100% + growth rate should still be intact. At $.11 EPS, current PE is about 63 ($28 / $.11 X 4), or about half of its growth rate. I think, tomorrow, momentum players will see this as a chance to bail out and try to catch it at a lower price. Longer term players will hold, and add more if it goes to the low 20's. Shorts are definitely going to cover by 10 A.M. when the stocks start to rally. I expect a volatile day tomorrow, with a trading range of more than $5. When the smoke clears, IOMEGA will be at $26 which makes it a good value going forward.

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