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Technology Stocks : CGRM Centigram

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To: David R who wrote (249)3/24/1998 9:25:00 PM
From: Red Dragon  Read Replies (2) of 333
 
I'm still here, but not much to add to rather lackluster stock performance. CFO is stepping down to pursue other opportunities. There is no financial impropriety - in fact CGRM has a very strong balance sheet with tons of cash, as we have pointed out before.

I'm not sure what to make of selling the CPE line. It has definitely been a very slow grower - the market is very mature. What would CGRM do if they do in fact sell it? The remaining SP business is a faster grower - but overall revenues would decrease incrementally. I guess you could take all the cash from the sale and retire a bunch of shares. You therefore end up with a smaller company with smaller amount of shares - but the remaining business is growing at a better rate.
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