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Biotech / Medical : neog - Neogen's E.Coli Test adopted by Japan
NEOG 6.045-1.9%9:38 AM EST

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To: Rich Genik who wrote (352)9/2/1999 4:45:00 PM
From: Kramer  Read Replies (1) of 441
 
re/I don't see why a company that has consistently grown at 20%+, and consistently beat earnings estimates, is selling at 14.7 PE. It's mind boggling./

I believe the investment community, like us, are impatiently waiting to see how neog invests their cash.

Neog has had a very good year. They achieved over 20% growth all from internal growth and they signficantly made the company more profitable at the same time. BUT, they have still must prove themselves to the investment community that they know how to take the company from here. I'm betting that they will. So far every deal that Jim and Lon have put together has been significantly profitable and I have all the confidence in the world that when they do move it will be a great deal too. Afterall Jim and Lon are not small shareholders themselves.

If they take the $10 million dollars and sink it into a deal like the others that returns 20% or more a year, we will get noticed!
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