C-Cube Message Board - Msg: 1168707

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 : C-Cube

CUBE 36.61

-0.6%

12:52 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Timoteo who wrote (13291)	4/10/1997 9:19:00 PM
From: Timoteo	of 50808

One more thing on R+D and earnings. Here's a scenario. CUBE spends $12 million on R+D in QTR 1 97. Increase of 90% over Q1 96. Earns .50 a share. Beats street estimate by 25%. Glowing analysts reports and upgrades follow. Short squeeze. Stock very quickly runs to 34. Company is now worth .2 Billion more on paper. If they had done this, no one would question R+D spending as being too low. Why didn't they? Company is obviously looking towards the future. It would've been easy to "prettify" these numbers in a variety of other ways. Longs be patient. Sep. Calls might be a good way to play this stock. Timoteo

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next