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Technology Stocks : Vitesse Semiconductor -- Ignore unavailable to you. Want to Upgrade?

To: beckya who wrote (3601)	8/28/2000 12:05:42 PM
From: The Ox	Read Replies (1) \| Respond to of 4710

I know that AMCC is willing to buy MMCN for 4 billion dollars even though MMCN had revenues totaling 70 Million last year. Something like a 40+ price to sales ratio or thereabouts. I know that VTSS earnings can easily be taken for granted lately since they have been in the process of acquiring and assimilating a few companies these past few quarters. I know that VTSS has averaged about 60% revenue and earnings growth during the last three years during which time their tax rate has increased, they've brought on board a new facility and they've been making acquisitions. ...and yes, I know how to calculate a PE. Which PE do you want me to post? Based on the latest quarter? Forward PE based on current estimates? PE based on the last 4 quarters. I'll be happy to help you out if you need it! It can be easily argued that VTSS is fully valued at this point with a similar price to sales ratio as MMCN's purchase price. The stock has rebounded from a low in the 30s to trading over 90 and it's easy to make a case for being short the stock. I think you should at least let the world know your point of view BEFORE you start in with the hyping, especially when you talk about "RISK". Being short has to be one of the riskiest ways to "invest", unlimited upsides and all.... Of course, you don't have to agree with me!!<vbg> Best of luck with your investment decisions. Michael