Spectrum Holybyte (SBYT): CIV II is the NEXT MYST! Message Board

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 : Spectrum Holybyte (SBYT): CIV II is the NEXT MYST!

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Thomas Dremel who wrote (107)	9/30/1996 10:46:00 AM
From: Andrew Chow	of 124

The market is certainly skeptical about SBYT, and they have more than enough reasons to do so, as you have mentioned. However that is why I like the stock. Very few people think a turnaround will occur. Consequently if it doesn't happen, I think the downside is that the stock falls right back to $5 where it started. If a turnaround does occur, this stock should get priced on a price/revenue multiple like other stocks in the sector, which with the revenues generated from the turnaround should be near $15. So I like the risk reward tradeoff, particularly since I view the odds of a decent fiscal 2Q as better than 50/50. I personally view the odds of a take-out as limited. I think it's unlikely anyone would want to buy the company until it turns around. Conversely I think that management won't want to sell if the turn around occurs. If someone buys SBYT, that's great, but that's not why I'm an owner.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next