Steve, the fair value you draw is a straight line. It does not foresee any changes in the current status of demand for HLIT's products. Lets say they double revenues in the last half of the year,which is possible. What happens to your stats? Stats are good for straight lines and cannot predict prices in a changing environment. You are correct the current scenario suggests a price of around 17-20. I dont see any insider sales at all,not sure of where you located these. If they were in Yahoo,check them out further,anything with light or harmonic or anything else might pop up. I looked in insider trader and there were no sales,and also in WSRN,no sales. Steve are you short HLIT? There was a few more shorts this month,were you one of them? Remember if this company can get a foothold this year it will explode in revenues and earnings in the second half. Also look at all the networking stocks,do any of the xDSL companies have any fundamental value? Even WSTL,a solid company has no earnings,only 90 million in sales and is selling for almost 1 billion. Most of the tech stocks have very poor fundamentals, HLIT is has one of the best balance sheets in all of SI.
Tim |
