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 : Creative Labs (CREAF)
CREAF 0.370-21.3%Oct 31 1:10 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: CHIP HUNTER who wrote (8816)1/23/1998 11:31:00 PM
From: Fred Fahmy  Read Replies (1) of 13925
 
<But why is the mean estimate from Zacks for the following quarter .11 below the one thats slow... Are you blaming this on Seasonality too FF????>

What's there to blame. Zacks estimates do not influence CREAF's earnings. The estimates in the quarter you are referring to (mean .40) will either be increased or beaten significantly.

< FF STOCK PRICES DO NOT ASCEND UNTIL THE EARNINGS ASCEND.... Hard concept isn't it FF!!>

Earnings will increase approximately 35-40% from 1997 to 1998. So what's the problem?

Let's review,

1) great quarter with solid margins, earnings, cashflow

2) new product lines are earlier in their life cycles with sales just starting to ramp up

3) oem relations are being established/expanded

4) CREAF now dominates both ISA and PCI audio solutions

5) CREAF is a leader in DVD which will be significant in the future

6) company sitting on tons of cash which will either be used for additional accretive acquisitions or stock buyback if regulations are changed

7) in addition to new product lines, top line growth will be aided by recent acquisitions

8) CREAF's franchise brand name is expanding from just being the soundcard king to the king of full package multi-media solutions

Yup, sure sounds like an 8-10 stock to me. Uh-huh, I see a stock with a forward looking P/E in the 3's (like you suggest) just around the corner.

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