Grasshopper,
Nam Tai is the hare, and Deswell the turtle. There are periods of frantic activity when NTAIF soars ahead, but then the one-time injection of carrot extract runs out, and it collapses for a while. The steady, solid growth of Deswell's underlying business is more dependable and predictable. The race is not over, the hare may yet win (or it may drop dead of a heart attack before the finish line). The turtle, however, will get to the finish line and reward those who are patient.
BTW, DSWLF has an OEM contract manufacturing part of their business that is growing faster then Nam Tai's, and makes more sophisticated products too (PBX switches, pro audio consoles, etc.). It is no longer just a supplier of plastic parts.
Dennis
ps: I thought the Japanese economy HAD crashed..... |
