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Technology Stocks : GTIS: Is there a better bet for Christmas sales?

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To: RJC2006 who wrote (363)2/3/1997 12:15:00 AM
From: Bill Gizzo   of 432
 
Bob:
Your recent posts seem to exhibit a somewhat bearish stance in regard to GT. Is this your current position or merely frustration with current sideways fluctuations in its share price?
I continue to remain bullish (snort), for the short and near term on GT.
My Reasons:

1) I'm expecting earnings for Q4 should be around 0.14 - 0.15 p/sh.
Basis :
a) FY 96 mean estimates remain @ 0.38 supporting at least 0.14 p/sh
b) GT projected net sales to be between 115-125 mil.(post-warning). Using 7.2% (9 mos. avg net profit %) x Net Sales = 0.12- 0.14 p/sh.
* NOTE* I'd fully expect the net profit % to be higher ( 8.5% or better). This due to continued reductions in cost of goods sold and expense percentages, from changes in product mix and continued merger related reductions, (see 10-Q's).

2) Analysts Consensus Recommendation - Accumulate
Buy - 1
Accumulate - 2
Hold - 4
Avoid - 0
Sell - 0
From Investors Edge / Nelson Company Reaserch

3) The sector reporting better than expected earnings for Q4 96.

Just one man's opinion, whats yours?
Cheers (snort snort)
Bill
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