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Technology Stocks : ISSI a great opportunity

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To: John McDonald who wrote (822)10/11/1999 4:52:00 PM
From: Sridhar Srinivasan  Read Replies (1) of 1058
 
John:

CFO Gary Fisher says "this is just a bump in the road. Better times and higher prices are ahead."

While the better times and higher prices may be ahead, the current action seems to reflect investor sentiment about ISSI management. The fact that they seem to be unable to capitalize on higher prices is indicated by anemic revenue growth this quarter and the next.

If all they can produce (with prices having doubled since early this year) is a 15 percent growth in revenue for the third quarter, it may mean that they are shipping significantly less product. Management needs to provide better visibility to investors going forward, and also show the ability to be profitable, else the stock may be headed towards 3 dollars.

Best Regards,

Sridhar
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