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.

Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Rick Storm who wrote (46024)	4/29/2001 6:06:43 PM
From: Cary Salsberg	Respond to of 70976

AMAT has a book value of $9.28 according to Yahoo. I have buys from $25 to $40 at $2.5 increments. I think a price of 2-3 times book represents great value and will probably be close to the AMAT bottom for a semi-equip down cycle. Yahoo shows $4.86 cash and debt/equity of 0.10 (~$.93/share). Since AMAT's last balance sheet does not reflect cycle bottom business, AR and inventory will contract and cash expand in the next few quarters as revenue falls toward more recent booking levels. In any case, the current cash levels are fine and I like 2-3 times book.