> I'm going out on a limb, here. I expect NTAP to split again,
> if this price holds, in the May/June timeframe. Then, if
> we run up past 100 again post split, we will split again
> next December.
Well, if we take the 4/2001 (1.10) and 4/2002 (1.88)
estimates and split adjust them, we see the following
for 1X to 2X growth rate price targets post split:
[4/2001 - $1.10 or .55 post split]
.55 x 70 = $38.50
.55 x 140 = $77.00
[4/2002 - $1.88 or .94 post split]
.94 x 70 = $65.80
.94 x 140 = $131.60
So, it is conceivable that we get back over $100 in
calendar year 2000 chasing the 4/2002 forward earnings.
I'm using 70% growth rate here and not figuring
accelerated earnings, so this may be conservative.
We eventually will get a multi-split year, but I
think we need to see some further acceleration of
earnings or fundamental business changes, like new
products that further accelerate earnings, to get
to that point. |
