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Technology Stocks : Verilink, long term hold?

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To: Crispin who wrote (445)1/2/1999 7:35:00 PM
From: stock leader  Read Replies (1) of 522
 
having only a couple major customers is always an inherent risk. Losing major customers will result in rev. declines. However, even if VRLK were to experience revenue loss, there simply is NOT much downside potential here. Remember, this co. has over $3 a share in cash, and it currently trades at just over $3.50.

As an example, take a look at CFMT--this co. experienced a major revenue shortfall during the summer, yet the company refuses to drop below $6.00 a share. That's becuase just like VRLK, CFMT has a ton of cash on hand relative to their market cap...

Worst case--VRLK may drop another 1/4 in the next few weeks, but if it does, I will be right there to buy it up.....
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