Vanstar Message Board - Msg: 2913748

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 : Vanstar

VST 171.38

-0.7%

Jan 13 3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Mark Carson who wrote (327)	12/9/1997 2:37:00 AM
From: Stephen Denaro	Read Replies (1) of 420

<<Unfortunately, (I wish Tauscher was reading this) we both know that the proper answer is showing Wall Street that declinging revenue and increasing EPS is actually a sign of strength (unlike companies like digital who are decapitalizing). Unfortunately Vanstar was unwilling or unable to prove their model was acceptable and they began adopting low margin high revenue contracts. >> I'ld agree that declining revenues while increasing EPS may be an indication that all is not too bad, but I do not agree that its a sign of strength. Gross revenues are perhaps one of the best indicators of future profit potential, and future profit potential real or perceived drives price. Whether Vanstar can improve future margins remains to be seen, certainly growing their business while remaining profitable is a very positive sign and the recent stock price advances likely reflect this sentiment. In addition, with expected consolidation in their industry segment, VST growing marketshare will no doubt offer further advantages thru this process. I think the management has learned more from their past mistakes than you are giving credit, just another opinion. regards, SD

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next