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

To: orkrious who wrote (12712)	7/9/2000 9:13:55 AM
From: Ausdauer	Read Replies (1) \| Respond to of 60323

I was just wondering... ...if anyone wanted to make any final comments about my comparison of SanDisk with Symbol Technologies. Message 14011193 Message 14011303 Again, I see the characteristics of the companies to be quite similar. I have posted the most significant differences above. As of Friday Symbol closed at $54/share yielding a PE of 62 based on 1999 EPS of 87¢ with a forward PE of 52 based on anticipated EPS of $1.03/share. ___________________________________________________________________________________ The point of the entire exercise is that I think only one of five things can be true... 1) SanDisk's growth rate is not factored into its current earnings multiple. 2) SanDisk's current earnings multiple is discounted due to volatility and risk. 3) Symbol Technology is overvalued. 4) The 2000 estimates for SNDK, which are now 87¢ by concensus, are accurate based on company guidance. 5) Comparing earnings multiples is invalid given the maturity of Symbol Technologies and the nascent markets SanDisk serves. Ausdauer

To: orkrious who wrote (12712)	7/9/2000 9:44:40 AM
From: Ausdauer	Read Replies (3) \| Respond to of 60323

Jay, I saw the picture of the components of the SSTI device and I asked a totally different question. ________________________________________________________________________________ How is IBM going to compete with this technology? ________________________________________________________________________________ I have no idea how SSTI managed to label both the flash and the microcontroller with their corporate logo. It was my understanding that they purchased stand-alone flash from other suppliers. My post from yesterday (evaluated so intricately by Wily) suggests that they may have an in-house supply or that a foundry partner is making high density flash for them. I am not worried about SSTI's production of CompactFlash for several reasons. First, I have never seen it available for sale anywhere. This must mean that they are not able to supply sufficient quantity to justify a retail presence. My research indicates that their product is relabelled with Kingston's brand name. I have seen Kingston CompactFlash available on the Internet, but never at retail. Here is an older post about SSTI's CompactFlash efforts... "SST does not supply CF cards directly to the retail market, we supply to large OEMs and private labels. Please go to our web site, www.ssti.com, and you will find a list of our approved distributors. Please contact your local SST distributor to purchase small quantity CF cards. Another very good vendor that would satisfy your CF requirements is Kingston Technology, www.kingston.com, call them directly (800)337-8410." Message 13387110 [I suspect SSTI is paying a royalty to SNDK on the stand-alone flash component in addition to the known royalty agreement for card assembly patents. I am not losing any sleep over this arrangement.] ________________________________________________________________________________ Have others been to their local electronics retailers lately to look at the CompactFlash displays? I went into BestBuy near my home and they were sold out of SanDisk CompactFlash. The only SanDisk items for sale were 8, 16, 32 and 64MB SmartMedia cards. There was a lot of Simple Technology CompactFlash cards for sale suggesting the supply has been better. I noticed that the higher capacity cards (48MB and higher) seemed to be selling a bit slower. Lexar had a few products as well. At Target I noticed a large array of SanDisk products. The CompactFlash cards come in a much smaller box now. As far as size goes, the boxes are comparable to package of Tiparellos. That is to say the box is considerably smaller (perhaps 2 1/2" x 5" x 1/2"). Unfortunately I noticed a new display for Lexar Media. These cards were 32MB to 64MB versus SanDisk's offerings of 8MB to 32MB. ________________________________________________________________________________ Here is another older post as it relates to Simple Technology... Message 13369885 Simple Technology currently utilizes flash chips and controllers for CompactFlash originating from Hitachi. Simple Technology pays royalties related to SanDisk's IP indirectly to SanDisk as they relate to licenses obtained by Hitachi. ("We only use products strictly licensed...[to Hitachi]...by SanDisk.") ________________________________________________________________________________ Hope this helps, Jay. Aus