David, I believe they will have a tax rate of 15%. Well if they trade at 11,they will have a future p.e. of about 13. I understand the fear factor,because they do not divulge their contracts. If they earn 0.18 cents this quarter and then TCI gives them some orders as does Roger's in Canada,both expected to have big buildouts,what is the problem? I still believe that they will be a player in the large build out of HFC systems in the U.S. and globally. They are small,and cannot ramp up production that fast,they have doubled their personnel but that might not be enough. Their problems are mainly due to expansion,not contraction,as I see it. I don't mind if they go to 11,if they are fundamentally sound,with cash,and earnings. I am a value investor,not a momentum investor,and I see great value in HLIT.
Tim |
