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Technology Stocks : Trimble Navigation
TRMB 67.60-1.1%Jan 30 9:30 AM EST
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To: David who wrote (1848)11/16/1997 2:41:00 PM
From: SKIP PAUL  Read Replies (1) of 3506
 
Your math is pretty accurate. Trimble is very leveraged in its operations. My estimate is that Trimble can go upto $400 million in annual revenue without significantly increasing its overhead. Gross margins in commmercial systems are very high because of all the softawre and firmware that goes into the products. Don't forget that two yellow boxes one quarter the size of a bread box with a bunch of IC's sell for the price of a Lexus 400.
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