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Technology Stocks : ACTM $100 Million Cable Modem Contract with MOT -- Ignore unavailable to you. Want to Upgrade?

To: rich evans who wrote (1132)	12/3/1999 9:10:00 AM
From: kolo55	Read Replies (1) \| Respond to of 1250

I agree as well. But for the record, DIIG was forecasting $2B in revenues for calendar 2000. The buyout was for a nominal $2.4B based on the closing prices of both stocks before the announcement. So I wouldn't use 2.0 times forward revenues as a reasonable estimate of pricing in buyouts. Furthermore, DII's Orbit engineers, and Multek's high margins, along with DII's global footprint, is worth a significant premium to a run of the mill domestic company like ACT. ACTM should do well in the current EMS environment for a while, and eventually the stock will hit a new all-time high. But the stock has significantly underperformed others in the sector, and the company has slipped even further behind the big 6, SLR, SCI, CLS, FLEX, JBL, and SANM. Down the road, this is going to give ACT competitive problems. If Pino was smart, he would be looking to sell the company. The question is, "To Whom?". Paul