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

To: KevRupert who wrote (15235)	10/1/2000 9:59:23 PM
From: Ausdauer	Respond to of 60323

Nikon image quality steves-digicams.com rotate on the camera on this link and see what's under the hood... steves-digicams.com Aus

To: KevRupert who wrote (15235)	10/1/2000 10:26:30 PM
From: Ausdauer	Read Replies (2) \| Respond to of 60323

Advalorem, "Hypergrowth" Yes, I think SanDisk is entering a rapid growth phase and I wanted to post revenue growth here because, in the end, top and bottom line growth is what will differentiate great stocks from the remainder of the bunch. __________________________________________________________________________________ I gravitate to the same statement that Sam pointed out in an article posted here earlier. techweb.com It shows how devastating 1997 and 1998 were to flash manufacturers and why the story today is totally different... While the flash market is booming today, this was not always the case. The flash segment was hit just as hard as other sectors during the last semiconductor down cycle in 1997 and 1998. With revenues down, the chip suppliers did not have the funds available to invest in fabs and increase their capacity. That is the reason for the shortage situation that the market is experiencing today. However, when flash money started rolling in last year the vendors began investing heavily in capacity, and those additional facilities are going to start delivering products soon. So far, this sounds just like the regular ebb and flow of the semiconductor cycle, but here is where the story diverges. When thinking about the economics of the memory market, most people think about DRAM. In that space, memory vendors tend to price their chips as high as they can when the supply is tight, not only to sock away some profits for when the cycle heads down, but also to pay for capital investment in order to increase production capacity. In this purely commodity market, price and availability rank as some of the most important variables that can make or break a sale, which is why the vendors are so cutthroat in their pricing. A difference of pennies per chip can be huge. [snip] "The flash market is very different," said AMD's Plouse. The main reason is that there are a wide variety of different products, rather than a few interchangeable designs. But even more important, the end applications for flash chips are seeing phenomenal growth, while the DRAM market is tied primarily to the more mature PC segment. __________________________________________________________________________________ You asked about SanDisk's cash value. I can't imagine us coming near cash or even book value unless there is a replay of the early Spring meltdown. I can imagine fund managers getting more and more selective on fewer and fewer top stocks. SanDisk has all the crucial fundamental attributes they are looking for, IMHO. I guess I might be worried if I owned DELL or Apple or Gateway. Is it likely that growth rates for PC makers will continue or will growth stagnate and margins get sliced thinner and thinner? The Post-PC Era will crown new kings. I hope that SanDisk plays a central role as people become less and less tethered to a desktop. Aus