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Biotech / Medical : New Brunswick Scientific Co., Inc. (NBSC)

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To: scaram(o)uche who wrote (443)3/1/2002 1:23:11 PM
From: richardred  Read Replies (1) of 724
 
Richard: Once again I agree, and my money is where my mouth is, and was. Present market conditions are favoring big caps and cyclicals. The thing that makes this a value is return to sales growth, and increasing earnings to go along with it. Seems investors are still skeptical here, as if earnings might disappoint as in the past. After years of disappointing. The prove it can continue, is creating a buying opportunity IMO. Much of that was already addressed by the exclusion of DGI equity losses in current earnings. IMO-When market conditions in bio companies are favorable. As many here have already addressed, I see a spin off down the road also. Another possible scenario, should results at DGI continue favorable. IMO- Novo might buy NBSC's equity stake for cash outright, and avoid bringing it public. This will generate a one time gain for the company, as its equity in DGI is already valued at o. The small size and lack of coverage by big brokerage firms to recommend this issue, will make this a gradual gainer. Unless it gets a buy recommend from someone. However if the stock stays subdued in light of improving results. I see someone fishing here to take the value out for themselves. This because at present valuation, this stocks earnings should add immediately to their bottom line. Another plus is the 10% for holding after the x date. I see the current .75 cents reduction being absorbed quickly.

I truly believe This minnow will be swallowed by a bigger fish, or grow to be a bigger one in time. So I will leave my baited hook in. My radar detector has shown me this is a good spot to fish, and I have the patience to wait.

Once again my caveat. Listen to what everybody has to say, but do what you think is right yourself.

RR
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