LSI Corporation 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 : LSI Corporation

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Lockhart who wrote (14515)	8/23/1998 9:11:00 PM
From: BWAC	Read Replies (1) of 25814

No the wild card is how much increased earnings potential this combination will generate. More sales should equate into more earnings. We seem to be having a clouded picture of the unchanged book value (cash for Symbios asset swap) vs. the expected increase in sales and earnings potential. The stock price does not or should not trade based on the book value, although it can be a good indication of value for the investor. The stock price should trade based on the future earnings potential. Example: Intc book value of 13 price of 85 I fully agree that the 15 price vs. book value has Symbios priced in. But we look to gain 600 million of sales which hopefully will translate into more earnings. Can we agree on this: LSI and their current sales of 1.3 billion are priced at 9.5 and Symbios and their sales of 600 million are priced at 5.5 for a total of 15.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next