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 : WDC/Sandisk Corporation
WDC 221.51-0.3%Jan 16 9:30 AM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: FlameMe who wrote (24629)1/21/2004 6:31:47 PM
From: Dave  Read Replies (3) of 60323
 
Ross:

The increase in the tax rate should've been expected. All the analysts had to do was evaluate SanDisk's Net Operating Losses that were reported in the 2002 10-K.

The GM compression combined with increases in marketing could be extremely troubling down the road. While I applaud their "Brand awareness" strategy which I proposed in earlier posts, the question is whether this strategy will lead to higher revenue growth.

You must also remember that in Q4 fully diluted shares were a tad over 95m whereas FY03 fully diluted shares were around 85m due to averaging during the quarter. In 2004, there will be over 95m fully diluted shares.

Next, while cash is good, SNDK has *excess* cash on its balance sheet. They need to figure out a place to put it since it is reducing it's overall Return on Capital. In 2004, SNDK will be "investing" that cash in a new marketing strategy which is an "intangible" item.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News