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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (11135)	5/18/2000 12:35:00 AM
From: The Prophet	Read Replies (2) \| Respond to of 60323

Although I feel partially responsible for Zeev buying into SNDK at higher numbers earlier this year, let me say that I think $1.5 is highly conservative. Notwithstanding Harari's conservatism, we should easily grow at an average of 40% quarter to quarter as a result of margin improvements and some increase in capacity. For this quarter, I'm not sure we'll hit 40%; we may even see only 15%-20%. But, if so, we will make up for it in later quarters. In a sold out market with stable pricing, in a sector of explosive growth, acceleration in earnings should soon become self-evident.

To: Zeev Hed who wrote (11135)	5/18/2000 7:04:00 AM
From: orkrious	Read Replies (3) \| Respond to of 60323

Measure SNDK against another favorite of ours, CYMI, which one, in your opinion is "cheaper"? Zeev, good question. I suppose for something to hold for five years, I'd pick SNDK. However, they are both in the unbelievable bargain bin. CYMI sells at 10x what I figure they will earn next year, and their growth rate for the next two years s/b four to five times that. That's truly cheap. But they can't sustain that growth rate indefinitely. SNDK on the other hand is probably selling at half it's growth rate looking at this year's earnings and maybe 25% of next year's, and their growth rate is likely to be much more sustainable for the next five years. I'm not taking any chances, I own a lot of both. <VGB> Jay