I think ADI last week projected 25%/yr growth. I think LSI's projection is in line with that. Personally, baring China devaluation, I think that is within reason. Same with your earnings projection, except I think yours is low.
I tried to do some earnings projections over last X'mas. Should not just take 17% margin as is. 17% is over a certain model, "assuming flat revenues going forward" as per Nov. cc. After that, no more R&D or SG&A (remember "revenues per design doubled last year and project to do the same this year" forecast in Jan. cc?). As such, I look to earnings and thus share price even higher than what you projected.
Now wouldn't you like to be wrong this way? <VBG>
I can't wait for the end of the year, but looking at this thing go up and down right now is just too much.
patrick
PS in my experimental projection, I also projected PE at ~25, with earnings as the next 4 Qs going forward. If I remember right, for Q1 '99 (Jan thru Mar, April is another animal, my projections show share price of ~$23 to $27, allowing a +/- 15% price swing off 'norminal'). |
