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 : Semi Equipment Analysis -- Ignore unavailable to you. Want to Upgrade?

To: robert b furman who wrote (4309)	7/25/2002 7:03:37 PM
From: LemonHead	Read Replies (3) \| Respond to of 95383

Bob, I got to dig a little deeper on the current value of NVLS. So I'm on the fence for the moment with a fair value reading of 23.63. I'm confused about this business of the 880 million in bonds possibly being returned. Got any thoughts on that? cbs.marketwatch.com [snip] Novellus expects to take a $17 million charge due to an expected put-back on $880 million of convertible debt issued last year. Due to the company's stock price, Novellus said holders of this debt are expected to exercise their option to simply return the bonds to Novellus. The debt consisted of 30-year zero coupon bonds with zero yield but with a conversion premium of 52 to 55 percent. Holders have the right, at certain time periods, to return the bonds to Novellus. The sale lowered the company's cost of capital and Hill said shareholders actually made $4 million in cash, or 2.5 cents a share, during the past year, on the sale. What kind of strewie deal is that? TIA Keith PS - VL has an updated report as of 07/19/02.

To: robert b furman who wrote (4309)	7/25/2002 7:31:46 PM
From: orkrious	Read Replies (2) \| Respond to of 95383

Nvls at 23 sure seems cheap 4.5x sales is cheap?

To: robert b furman who wrote (4309)	7/26/2002 1:18:56 PM
From: Gottfried	Read Replies (2) \| Respond to of 95383

Bob, don't want to interrupt your trading, but maybe you can respond tomorrow. Less than a year ago when fundamentals were much worse AMAT was almost double of what it is today. stockcharts.com[l,a]daclnimy[p][vc60][iUe12,26,9!Lc20]&pref=G I think valuation has been permanently ratcheted down. Permanent is >1 year. Now everyone expects at least a slowdown in equip bookings growth [maybe even a dip] and btb can't go much higher. We know a bookings plateau lasting a few months is reasonable to expect. Other investors may take that as a sign the cycle has peaked and drive down the equips even further. AMAT below 10. We, knowing better, will hold. Then congress will pass a law making semiconductors illegal and Warren B. will run for president. :) Ignoring my last sentence above, please comment. Gottfried