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Technology Stocks : SILI - Siliconix -- Ignore unavailable to you. Want to Upgrade?

To: G.M. Flinn who wrote (60)	3/9/2000 7:21:00 PM
From: WTMHouston	Read Replies (1) \| Respond to of 152

SILI is doing very nicely. There are several rumors floating around and a few known facts. Rumor 1: Analyst coverage early next week. Rumor 2: Another split announcement (2 for 1 for 5 for 2) in the next week to 10 days. Fact: Volume has been HUGE for SILI the past 3 days as it has run from $72 (at the post split low -- I added some at $75, wish it had been more) to $118. Fact: Along with the higher volume has been some larger block trades. There was one after market today at ~$118 for 2700 shares. Could be retail, but probably not. Fact: With VSH's earnings guidance last week, people are starting to realize that SILI could report sequential earnings increase of 30%+ in Q1 over Q4. Fact: The larger float is making it more attractive to some institutional buyers. Assuming $1.03 for Q1 (which I think is conservative) and 10% sequentially for FY2000 Q2-Q4 (which may also be conservative) and FY2001, will give SILI FY2000 EPS of 4.78 and FY2001 EPS of $7.00. 50x FY2000 = $239 60x FY2000 = $287 70x FY2000 = $341 80x FY2000 = $382 50x FY2001 = $350 60x FY2001 = $420 70x FY2001 = $490 80x FY2001 = $560 Each of these PE multiples is still below SILI's growth rate, which IMO makes them conservative. Valuing SILI at 110x FY2001 (which is what I seem to recall was an analyst's target valuation for IRF) = $770. It could take a year or so to get to $770, but I can wait that long for a 10 bagger to turn into a 50 bagger. I like the sound of 5000%. A nice round number. <g> Is it any surprise that many, if not all, think there is still great potential in SILI. Troy PS - SILI $121 after hours today.