SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Vitesse Semiconductor
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: JakeStraw who wrote (4211)9/27/2002 8:35:21 PM
From: mopgcw  Read Replies (1) of 4710
 
Here is the relevant piece from GS:

Vitesse (VTSS; MP)

Market cap: $168 million
Q4 FY’02E (Sep): $39.0 million and ($0.09)
Q1 FY’03E (Dec): $41.0 million and ($0.06) to $40.2 million and ($0.06)
FY’02E (Sep): $163.3 million and ($0.42)
FY’03E (Sep): from $195.4 million and ($0.13) to $182.5 million and ($0.17)
Net cash: $17 million or $0.09/share

We are lowering our estimates for Vitesse to reflect similar weakness in
the telecom markets and more muted benefits from the company’s switch and
optical transponder product cycles. While the datacom portion of the
company’s business remains relatively healthy, we believe the continued
weakness in telecom makes it more difficult for the company to achieve the
material growth required to achieve its breakeven targets by year end 2003.

We believe that in the absence of consolidation further cuts are likely as
it is functioning with operating expenses of $50 million, which is still 2x
the level that it had when its revenues were at similar levels in 1998. We
are maintaining FQ4 (Sep) and full year FY’02 estimates of $39.0 million
(down 9% sequentially) and LPS of ($0.09) and $163.3 million and LPS of
($0.42), respectively, but lowering our estimates for FY’03 from $195.4
million and LPS of ($0.13) to $182.5 million and LPS of ($0.17). The stock
trades at 0.8x C’03 sales, which is at a discount to telecom-related peers
given its relatively weak balance sheet; Vitesse has approximately $0.09
net cash per share and is expected to burn approximately $27 million in the
September quarter, or approximately $0.14 per share.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News