SanDisk Corporation Message Board

STOCKTALK

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 : SanDisk Corporation

SNDK 175.49

-0.6%

Oct 28 3:59 PM EDT

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: sndk_longterm who wrote (8)	6/28/2010 8:20:47 PM
From: Art Bechhoefer	Read Replies (2) of 36

SanDisk - Intel merger? It's an intriguing idea, but it might be in conflict with the Toshiba SanDisk joint venture provisions. If Intel bought SanDisk, Intel would end up being a partner and competitor of Toshiba at the same time. No doubt consolidation will continue, with lesser NAND flash participants falling by the wayside. This is already happening and explains in part why NAND prices have fallen only modestly over the past year (at a much lower rate than production costs for the major producers). Many well publicized analysts apparently have missed this trend, and their resulting estimates of earnings and gross margins for the rest of the year as a result are too low. One factor that makes SanDisk attractive as an acquisition is its intrinsic value, taking into account the value of its patents, among other things. Even without accounting for the value of the patents, most of which are on the books at zero value, the price-earnings ratio going forward is also on the low side. As others have noted previously, this is really a $60 stock (or more) were it not for the economic and political uncertainties facing the major nations of the world. Art

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next