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Technology Stocks : VALENCE TECHNOLOGY (VLNC)

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To: lws who wrote (6903)1/8/1999 12:46:00 PM
From: Larry Brubaker  Read Replies (1) of 27311
 
lws, you make a very good point. With VLNC's market cap in the $200 million range, the market certainly seems to expect big things from these guys. VLNC's market cap is about 3X ULBI's, which has existing sales, has $30 million in the bank, does not burn through money nearly as quickly as VLNC (thanks to those existing sales) and does not have the possibility of a floorless conversion facing it.

Thus, it seems that the market is telling us that it expects this time is no false alarm. Of course if this time is a false alarm, VLNC probably would fall much further from here than ULBI would be likely to if they also would deliver a false alarm, without even considering the added impetus of a floorless.
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