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Technology Stocks : Texas Instruments - Good buy now or should we wait?
TXN 155.24-1.1%2:17 PM EST

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To: Skeeter Bug who wrote (2059)11/15/1997 10:52:00 AM
From: Larry Brew  Read Replies (2) of 6180
 
Skeeter Bug, << dsp a commodity >>
Couldn't agree more. Technology CAN be bought. TI's strength lies
within it's ability to generate products in VOLUME! The cash position
from their sell-off, also puts them in a very price competitive
position for .25u and below technologies.
Why is the stock down. Simple. Tom Kurlak's analysis of TI fundamentals. To those of you who take Kurlak lightly, wake up. He's
been #1 in technology for 10 years.
Fundamentals:

1) past 12 month revenues = 8.5b with roe of 8%
2) past 3 quarters are 7.3b, with 1997 projections below previous
estimates. 1996 rev was 9.94b and 1995 was 13.13b
3)Fundamentals ---------- T.I.-------Industry -------- SP500

growth rates-----------=(-16.4%)-------=28.7%---------=7.6%
will probably be 0.0 after 4th qtr results.
price to sales ratio-------2.17-----------1.79----------1.52
price to earnings---------31.8-------------25.3---------23.2
note: low is good with ratios
other ratios as p/book and price to cash flow are typical.
4) Intel has entered the logic world.
5) Cyrix microprocesser contains video and sound logic eliminating
these add on chips.

That's about it with some hard data. Time for all you TI'ers to
get to work and prevent being layed off as IBM announced yesterday.
That means you too Stabe!
Larry --- :-) :-) :-)
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