Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: Uncle Frank who wrote (25327)	5/24/2000 9:15:00 PM
From: Ausdauer	Respond to of 54805

Uncle Frank, Gorilla Strategy I wanted to reassure you that SNDK comprises the lion's share of my holdings. I am not a pure gorilla hunter and never claimed to be. IMHO, SNDK is the only company in the list you posted that deserves such consideration. I also parked some money in blue chips (LU, XRX) and some value-style investments (IM, ALSC) in the last 6-24 months, dabbled in some hi-tech infrastructure stocks (VSAT, XYLN, AFCI, IFCI) and also had a small basket of flash memory stocks (SSTI, SMOD and FLSH) for a period of time before folding them into SNDK. SanDisk remains depressed currently, in part due to inaccurate earnings estimates for this year by the analysts. They are suggesting earnings growth will be flat which is not consistent with company guidance... 21½ + 22½ + 23½ + 24½ = 90½ ... and this for a company that is set to double revenues over 1999 and which earned half of its 1999 EPS in the first quarter of 2000. (Yes, that is true.) I am projecting 20% earnings growth Q-over-Q for the next 3 quarters which yields forward 2000 EPS of... 21½ + 25½ + 30½ + 36½ = 1.12½ (the 21½ from Q1 is already in the bag) *(last year's EPS was 43½ for comparison) ...which calculates to a PE of about 40 and a PEG of of well under 0.5 at today's close if you subtract cash and cash equivalents net of debt. Ausdauer (Yes, I am a Gorilla Game investor)