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 : Vitesse Semiconductor

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: VoodooFL who wrote (209)9/23/1996 11:42:00 AM
From: V Lakshman   of 4710
 
Robert, you are right that when a company expands, the new plant
may generate losses instead of additional revenue. However, the
telecom market is expanding rapidly, vitesse is designing new chips
and I don't see them hitting any ceiling in the next six months.

But you are right, the risk is there and if VTSS messes up the new
plant, the earnings could go down by half. If that happens and
VTSS grows only at 20% or less, the share could be worth no more
than 32 or so. What it will sell for, of course, is any body's guess.

I thought VTSS got too _little_ coverage ...

lakshman
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext