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Strategies & Market Trends : Cents and Sensibility - Kimberly and Friends' Consortium

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To: Jo Ellen T who wrote (86543)3/16/2000 11:10:00 PM
From: SKARLOEY  Read Replies (1) of 108040
 
SCON - another believer as me,

Repost of SCON worth $600/shr.
by: golongscon (0/M/CA) 3/16/00 9:07 pm
Msg: 11130 of 11137
"There will be over 1.5 Million cell sites by 2005. Each of these will require a superconductor filter to handle the next generation (3G) of handheld devices: phones, palm pilots, etc. The filters go for about $20,000 each, assume a 20% profit margin, and SCON gets 50% of the market (ISCO and CDTS will split the rest based on their current market share and track record).

Multiply it out, and you get $1.2 Billion per year in profits over 5 years. That's $300,000,000 PER YEAR in profits for 5 years for SCON. At a PE of 20, the 10 Million shares of SCON stock should be valued at $600 each."

I believe we will be able to validate these assumptions within the next few months. Note that this only values the cell site market, and not the superconducting internet servers and graphics workstations, medical imaging equipment, or military mobile units.
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