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Technology Stocks : American Power Conversion

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To: BOJO who wrote (1642)7/24/1997 11:18:00 PM
From: shane forbes   of 2574
 
The Ace for APCC is international sales and the ramp in servers as a by product of the networking surge. APCC is a nice play on servers and computing growth in the rest of the world. Besides unlike say the box people the US market for UPSes is far from saturated.

APCC has the following in its favor:

1. Products have sufficient market potential to cause sizable increases in sales over the next few years.

2. R&D has proven to be very effective.

3. Sales organization is above average.

4. Profit margin is superlative relative to this industry and relative to most any other industries.

5. Excellent labor/personal relations.

6. Outstanding executive relations.

7. Management depth.

8. Brand name recognition.

9. Has a long term growth focus and outlook.

10. Should not need equity financing or LTD to grow.

11. Honest management.

If these look familiar I pulled them (with some ommissions and wording changes) from the brilliant Philip Fisher. There aren't too many companies that have these characteristics. There will be many many ups and downs with the stock however because I think many people are unwilling to move it to the next level until the company can show several quarters of meeting expectations. Not sure if this will EVER happen. But if you buy today and do not look at it until 5 years from now you will be one happy shareholder and of that I am certain.
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