SI
SI
discoversearch

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 : WDC/Sandisk Corporation
WDC 166.30-4.7%Dec 17 3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Charlie Smith who wrote (57303)5/7/2014 2:25:35 PM
From: Sam2 Recommendations

Recommended By
franklin1
JCnieuwenj

   of 60323
 
Changing the long term financial model (including changing the name to "Target FM"!)

Changing GM range to 45-51% from 38-44%
R&D increased from 9-11 to 11-12%
S&M increased from 5% to 6%
G&A stays the same at 3%
capex stays the same at 20-30% of revenue

Operating margin increases from 21-25% to 25-30%
FCF is 15% of revenue (or more)

Capital return program
Have reduced number of shares by 6% over the past 3 years through the share repurchase program.
Will be increasing the dividend beginning in Q3 will be .30/q or $1.20/year (up by 30%), cost of about $275m/year.
Will spend 100% of FCF in 2014 (up from 76% over the past couple of years), have plenty of cash on hand to do this

So--Judy threw them some bones to chew on, the stock has gone from about %85.50 to over $87 in the past 15 minutes or so.

Thank you again, Judy! The star of the show once more!
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News