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Technology Stocks : Ampex Corp: Digital Storage
AMPX 8.710-3.8%3:59 PM EST

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To: Gus who wrote (1710)2/9/1997 11:39:00 PM
From: jonggua   of 3256
 
My promised rationale for a $500 AXC in 5 years possible but not guaranteed!
Comparisons to other growth companies on torrid multiyear eps gains.

Closest comparison to my projections is Cisco from FY90-95

year..profit in $M.....capitalization range....AXC price(same cap divided by 50M AXC shares)
90....13.9.............600M - 257M.............$12-5
91....43.2.............1.96B- 547M.............$39-11
92....84.4.............4.9B - 1.9B.............$98-38
93...172 .............8.1B - 4.7B.............$162-94
94...315 ............10.5B - 4.8B.............$210-96
95...480 ............24.3B - 8.8B.............$486-176
96...929 ............44 B -21 B.............$880-420

See Storage Technology

92....15.5M............3.2B - 738M.............$64-15
93...-43 M............1.85B- 774M.............$37-15
94....56 M............1.85B- 1 B.............$37-20
95....71 M............1.75B- 954M.............$35-19
96...160 M............2.73B-1.36B.............$55-27
97est195 M............6.8 B- 4 B.............$85-50est

See EMC

91...13.1M.............332M - 121M.............$6.64-2.5
92...28.7M.............940M - 123M.............$39-2.5
93...127 M.............3.6B - 954M.............$72-19
94...250 M.............4.8B - 2.5B.............$96-50
95...365 M.............6.3B - 3 B.............$126-60
96est390 M.............6.1B - 3.5B.............$122-70
97est475 M

SEE 3COM

91...15.4M.............350M - 152M.............$7-3
92....4.2M.............825M - 264M.............$16.5-5
93...38.6M.............1.5B - 615M.............$30-12
94...87 M.............3.5B - 1.3B.............$70-26
95...167 M.............9.7B - 3 B.............$194-60
96...280 M.............11.4B- 5.6B.............$228-112
97est415 M

SEE CASCADE COMMUNICATIONS

96...75 M..............4.5B avg................$90
97est120M..............11.6B avg...............$72avg
99-01..395M............11B avg.................$260-167 value line est

IOMEGA HAD EARNINGS OF 10M IN 95, 20M IN 96, BUT CAPS OF 7B, NOW 2.5B

ASCEND HAD INCOME OF 31M/95, 113/96, AND CAPS OF 10.4B TO 4.5B, NOW 9.1B

As AXC (expectedly and hopefully) marches towards 100% KM,
income could also rise to the $500M mark by 2000 or 2001.
Factor in possible other successful major endeavors and
it could go on from there!

Don't sell at 8! or $80!
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