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Technology Stocks : MRV Communications (MRVC) opinions? -- Ignore unavailable to you. Want to Upgrade?

To: Jack Colton who wrote (39478)	7/8/2002 11:02:43 AM
From: Robert G. Harrell	Read Replies (2) \| Respond to of 42804

Mighty quiet around here. Is everyone on vacation? Thinking out loud: Last week I was ruminating on why MRVC is valued so low on a P/S basis. In trying to explain why JDSU is valued at over 6 times MRVC on a P/S basis, I looked at cash flow and was surprised to find, if I am correctly reading the data, that JDSU is cash flow positive. biz.yahoo.com Because I have been in and out of FLEX for years, I was aware that it has fallen to a P/S valuation as low as MRVC. I then wondered if it too was cash flow negative. When I checked, it like JDSU, appears to be cash flow positive. biz.yahoo.com Am I reading these cash flow reports correctly? If so, wouldn't it make sense to roll my MRVC money into FLEX? They are both equally undervalued on a P/S basis but FLEX is still generating tons of cash and would therefore seem to be a much less risky investment. I guess MRVC has a much larger potential % gain since it could go back to a P/S of over 3 whereas FLEX would likely never exceed 2 and would probably settle in around 1.0 - 1.5. Thoughts anyone? Bob (too broke to be vacationing)