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.

Technology Stocks : Rockwell-Spins off Conexant (CNXT) -- Ignore unavailable to you. Want to Upgrade?

To: David W. Taylor who wrote (1778)	12/4/2000 11:32:03 AM
From: SpecialK	Read Replies (1) \| Respond to of 2013

David, What do you think of 3Com spinning off Palm? Investor X had 3Com at $27, now they have 1 share of 3Com at $15 and 1.5 shares of Palm at $40+. Good for investors. Focus of the businesses and customers were not the same. Good for the company. To purely talk about this spinoff as looking at stock prices is as naive as talking that it has nothing to do with stock prices. By the way, for whatever reason, the market likes pureplays, easy comparisons to competitors. At current prices, $22 , your $16-18 target is not far, but please tell me your target for a 2-5 year timeframe, both on a combined and separated basis. I'm not sure that I agree with the simplistic comparisons in the Barron's article.

To: David W. Taylor who wrote (1778)	12/5/2000 1:25:35 PM
From: gpowell	Respond to of 2013

The recent $16-18 figure has come about, since the board at Conexant started to do the really silly stuff and become obsessed with the stock price as it fell. The idea to spin off one whole line of business in the "SpinCo" was and still is a desperate attempt to catch the money from the unthinking public that has been following them. Actually, you adjusted your price target only after prodding by other posters. The adjustment was necessitated by CNXT’s acquisitions, which resulted in stock dilution. Your new price target should be somewhere between $11 and $17 dollars, assuming you use earnings before charges, otherwise a price is not computable. Still thinking those wishful thoughts? Message 13704543