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Technology Stocks : THQ,Inc. (THQI)

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To: Kelvin Taylor who wrote (4760)4/22/1998 5:59:00 PM
From: Todd D. Wiener  Read Replies (2) of 14266
 
Kelvin-

I am also a bit surprised at the selloff today. But THQI is growing at its fastest pace ever (obviously the 300% growth rate is unsustainable), yet it's trading at the lowest valuation ever. In Q1, THQI was the 4th largest console software maker (in terms of sales), after Nintendo, Sony and ERTS. I still think that $3.00 is possible for 1998, and I see no reason why the stock shouldn't reach $70 within the next 9 months. Once the lineup for 1999 becomes more evident, investors will become more comfortable with the outlook. But for those of us willing to look past the "uncertainty," a great company at a great price can be bought. I think that the selloff is largely completed, and the stock is now oversold. It was merely a technical correction that reversed the overbought condition. Once the weak hands are out, the stock is going to move a lot higher. Look at any chart of historical valuations, and you'll see that whenever THQI gets this undervalued, it is a tremendous opportunity.

chart2.bigcharts.com:80/chart?time=9&freq=1&uf=0&lf=16777216&type=2&style=1&size=2&comp=&r=chart&onbad=badsymbol&country=us&compidx=aaaaa%3A0&ma=1&maval=200&symb=thqi&sid=7904&sec=c&xyz=77325906&s=5214

Todd
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