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

To: TREND1 who wrote (20130)	4/19/2001 8:22:13 AM
From: Art Bechhoefer	Read Replies (1) \| Respond to of 60323

Larry, the data as of March 31 show SNDK had a book value of about $13.85 per share. If you compare with other tech stocks, you'll find that typically the only kind of company selling BELOW book value is one that is on the way to bankruptcy--very unlikely for SNDK, given its strong cash position. If you take a worst case scenario and project total 2001 revenues at, say $420 million (or almost flat for the year), then you get forward looking sales per share of about $6. With the current price near 24, you get a price/sales ratio of about 6, which isn't all that great, but it isn't all that bad either for a tech stock. More likely, you will see total 2001 sales about $600 million unless most of the world falls into a deep recession. Art