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Biotech / Medical : Housecall Medical (HSCL)

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To: scott who wrote (12)2/6/1997 2:30:00 PM
From: Risberg   of 31
 
I didn't inquire about the present status of the lawsuit, although I probably should -- companies usually don't reveal the status. I am not all that concerned with the lawsuit -- I don't think I've ever seen a precipitous fall without one, but they rarely do too much damage to the bottom line. Both sides tend to get discouraged by legal fees and the long time for resolution, and settle amicably. I agree with you about the payor mix, but my interest isn't necessarily long-term with this stock -- I just want to see them be reasonably profitable. By achieving an annualized earnings of 0.60, the market will accord it a reasonable pe multiple, and I will probably bail then. My best hopes are that the stock is at 9-10 in May, and then I will bail with a two-bagger. If earnings estimates get boosted and some buy ratings come out, I might stick with it. Good luck!
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