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Strategies & Market Trends : Value Investing

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To: Logain Ablar who wrote (13956)2/19/2002 1:40:35 AM
From: blankmind  Read Replies (2) of 78565
 
- Tim, you're the reason i like Tyco so much

- back in '99 or so, the same fears surfaced; & the stock totally recovered & then some within 5 or 6 weeks. It's dejavu all over again

- 1st - if Tyco had to sell CIT at a loss, they probably wouldn't sell it. The CEO said he's going to have CIT run as a stand-a-lone; & either spin off to shareholders or sell. Trust me - Tyco is wallowing in cash

- 2nd - per their 10q for 1st qtr ending 12/31/01 - Tyco did $3 bill of acquisitions; $1 bill in cash & $2 bill in stock.

- bottom line - Tyco is so cash flow positive & profitable, that they're continuing on w/ their acquisitions - without driving up their debt levels
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