Hi Neal,
I am a longtime subscriber to Forbes magazine, so I have been following their positive coverage of Cypress [below is an example, if fact if anyone clicks on the link below, you will see a better financial description of Cypress]. Yes, I agree with you that I am pleased with their reported business dealings with Simtek, but unfortunately Cypress doesn't seem to want to give credit to Simtek's technology in its press releases, imho. Maybe this is to keep their competition from also signing up with Simtek. I was very pleased to see how much stock that they own in Simtek, and that played a part in my recent large purchase of more of SRAM's stock. Do you know how much SRAM stock ownership, Cypress it is up to, including officers? In addition to the Forbes coverage, I found the below coverage and justification made sense for CY being undervalued:
http://www.siliconinvestor.com/readreplies.aspx?subjectid=1339&nonstock=False&msgid=21396752
Another way of looking at it: There's currently more than $10 of Sunpower in every Cypress share, while the semiconductor stub sports a value at somewhere between $4 and $5. Based on historical valuations, however, the semiconductor operation should be valued at more like $14 - or just below where all of Cypress, including its Sunpower stake, currently trades.
Put it all together and you get a sharply higher price and a chance to get Sunpower for what arguably is the equivalent of free.
Shawn
Business News [Cypress (CY)
02.01.06 Cypress Touches The Sun Forbes.com
01.30.06 Cypress Semi Feels The SunPower Forbes.com
01.26.06 Sale Of Stagnant Businesses Should Boost Cypress Profits Forbes.com
01.20.06 Synaptics Shares Drop on 2nd-Quarter Loss AP
01.19.06 Cypress Remains 'Significantly Undervalued' Forbes.com
More News On Cypress Semicndctr
Press Releases
02.03.06 Next Inning Technology Updates Outlooks on Microvision, Cypress, Amtech, and Atmel
01.27.06 Cypress's Automotive Camera Module Named 2005 Top Product of the Year for Digital Imaging by Automotive Engineering International Magazine
01.26.06 SunPower Reports Fourth Quarter and Year End 2005 Results
01.26.06 Cypress Reports Fourth Quarter 2005 Results
01.25.06 NetLogic Microsystems and Cypress Announce NSE Asset Purchase; NetLogic Microsystems to Acquire Cypress's Network Search Engine Products Including Noted Ayama and Sahasra Families
More Press Releases On Cypress Semicndctr
Background
Designs, develops, manufactures and markets a broad line of high-performance, digital and mixed-signal integrated circuits for a range of markets including data communications, telecommunications, computers and instrumentation systems.
Financials & Ratios: forbes.com |
