Interesting Y2K article in Barrons this weekend.
Focused on who's hot and who's not in the sector. Basic tone of the
article was that silver bullet tools companies, with large percentages of their overall revenue from Y2K tools (e.g. VIAS, DDIM, ZITL)
are basically going to see revenues fall. Y2K service providers,
however, have been strong and will get stronger (specific mention
made of CPWR, KEA, ACLY).
No mention of PLAT. However, PLAT is both a tools provider, and
a growing consulting provider like CPWR, with only a small overall
percentage of revenue (albeit high margin) coming from the tools
side. So it seems like services and testing tool vendors, of which
PLAT is both, are the hotter ways to play the trend than tool-only
vendors. Plus, PLAT has core businesses that are still growing
very fast.
Although not mentioned directly, I'm hoping people realize quickly
that PLAT falls into the CPWR category, and gets a lift out of this.
Regards,
Dave |
