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Technology Stocks : KEMET Corp. -- Ignore unavailable to you. Want to Upgrade?

To: techtonicbull who wrote (546)	8/23/2000 3:12:10 PM
From: SJS	Read Replies (2) \| Respond to of 906

If we close up today, that will be 9 straight up days in a row. Very impressive, but will probably need a small rest very soon. It's not the start of a downleg, just a pause for some to take profits, and those missing the move to get some for the next leg up.

To: techtonicbull who wrote (546)	8/23/2000 5:13:53 PM
From: Czechsinthemail	Read Replies (2) \| Respond to of 906

I have a strong feeling that KEM will exceed $45 per share by Christmas. If the market holds together, KEM should go higher than your forecast -- and sooner. We should see major appreciation between now and the next earnings release. The market has lumped capacitor companies with semiconductors. They've been trashed along with the semis, and now they are coming back into vogue as people come to the conclusion that the period of high revenue and earnings growth will continue. In the attempt to discount an eventual balancing of supply and demand, people have missed how cheap the stock is and how great the growth will be. The company's long-term forecast is 20-25% earnings growth on 18% annual revenue increases. That assumes about a 10% decline in product prices each year. We're now in a period in which prices aren't declining, so growth is much higher. There has been a big disconnect between the low stock price and the extremely high growth. The capacitor companies have been underrated, and there is tremendous appreciation potential until they reach a point where they are overvalued.