Disk Drive Sector Discussion Forum Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Disk Drive Sector Discussion Forum

WDC 181.54

+1.1%

Dec 26 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Z Analyzer who wrote (7241)	10/21/1999 12:01:00 PM
From: Robert Douglas	Read Replies (1) of 9256

Z, Any predictions on the timing of WDC's demise given their 185 mil in cash and, from last conf call, claimed ability to raise more. Just about to listen to the current call. Last quarter took a pretty good bite out of that cash and I would dispute their ability to raise any more. Their debt is already too high and selling stock around $3 won't further their cause. Even their stake in Vixel, currently valued around $45 million isn't going to save them. Things seem to be getting worse too. In the prior quarter they managed 3% gross margins while this quarter they actually had a negative 16% gross margin. Their variable costs to produce each drive were less than the sales price! This is one sick puppy, call the vet and get the shot ready.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next