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Technology Stocks : QUANTUM
QNTM 7.224+3.2%Jan 13 3:59 PM EST

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To: roger held who wrote (4421)10/31/1997 11:24:00 AM
From: Z Analyzer  Read Replies (2) of 9124
 
<<QNTM better spin off DLT before their DD business totally
drags it down.>>
DLT at 30 times earnings is worth over $50 per share, at 40 times its worth $70 per share. That means that Quanum's disk drive business is worth MINUS $20 to $40 per share or a NEGATIVE $3.5 TO $7 BILLION.
Its a travesty that Quantum shareholders are not reaping the extraordinary fruits of having one of the world's hottest products. If not spin off some DLT shares, at least stop bleeding the company in the high end whare Quantum has never had success through many efforts over the years. The desktop business is clearly good but but they say that a company will be accorded the multiple of it's least desirable business. DLT shareholders can't affortd that and would almost certainly be better off if they literally gave the entire disk drive and heads business away.
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