ADFLEX SOLUTIONS ( AFLX ) 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 : ADFLEX SOLUTIONS ( AFLX )

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Kent Sarikaya who wrote (254)	1/28/1998 3:10:00 PM
From: rich evans	Read Replies (1) of 718

Did you listen by any chance. I listened and asked about rev growth and projections and the answers were what was posted on Yahoo. Q1 will be flat with operation margins improved and gross margins about the same. 52 mill is a good estimate. But Q2 will show accelerating revs and income despite the HDD problem which has 6 mo to go probably. The company right now is 65% is flex fabrication and 35% in assembly. It wants to increase assembly and take business away from SFLX which is all assembly and ahead on the new technology of Direct Chip attachment.The year end results should be in the neighborhood of 250 mill revs and 1.50/share. Backlog is not always the best indicator as their is more turn business where it is booked shipped and billed and never hits the backlog number. It looks like they ship about 86% of backlog in the past , the same as SFLX. With SFLX this means Q1 could be about 45mill revs IMO and margins should be 4+%. This CC was interesting because of the time spent talking about the industry/ products/ customers etc. Three reasons were given for revenue estimate differences. One was the HDD problems although AFLX does desktop DDs and not just high end which SFLX does. Another reason was Transition problems from new customers, and old products to new ones which cause timing problems and ramp problems not much with AFLX but with the OEM, and third is the ASIA perception which creates hesitation etc.AFLX thinks the flex industry will do well because of the trend and need for minaturization which often requires flex and second mechanical needs for flex in many products these days. They do not have a stock buy back planned but stock is considered cheap at a future psr of .6 and PE of 11. Conclusion: Buy. But will have to wait at least 1 quarter maybe 2 but then should takeoff. Rich

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next