Tim, I have followed them for awhile and frankly, don't understand them. I think things there are a disaster, but it is hard to sort through the mess. Their one saving grace is that they have been gaining market share intl.y over even dumber cos. Their #s never add up, but I am loath to buy puts as the stock sells for nothing. Here are a few examples:
1. For the year, they earned $1.61 vs $1.32. O.K., looks light, but good enough. Then they say, eps were up 86%! Say, what? I got a "C" in 5th grade long division, so they can't fool me with that one. <g>
2. Are the goodwill charges legitimate? I don't know, but they sure whack the eps numbers.
3. Uh, if you don't keep track of incentives, and therefore cannot bill for them, do you think the good old boys at nice cos. like IBM and Compaq are just going to mail them to you out of the goodness of their hearts?
4. You have sales up 56% 4Q, but eps up less than 5%?
5. Another scamster playing the receivables game. Folks, if you never get paid for the crap, is it a sale? <g>
So, the bulls love them and they confuse me. I smell limberger cheese every time I look at their statements. |
