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Technology Stocks : Vitesse Semiconductor -- Ignore unavailable to you. Want to Upgrade?

To: The Ox who wrote (4156)	8/10/2002 1:13:54 PM
From: Ghassan I. Ghandour	Read Replies (1) \| Respond to of 4710

I am buying VTSS at the present level which IMHO is way oversold. What is killing the stock IMO are all the day-traders who buy the stock only to sell it a bit higher. The rally it had from 2 to 2.50 on Cisco's earnings was absolutely unjustified and, this is IMO what caused the selloff to way under 2 which is also unjustified. What is a fair price for VTSS? The answer depends on how much we believe in the company and the ability of its management and engineers to AGAIN find out what the market needs going forward. Regarding the debt and the quarterly burnout of cash, it seems to me that there is a simple mathematical formula that most people don't properly interpret. If the company is under threat of death then the debt is worthless, being due only in 2005. The CASH is then REAL as far as allowing the company to withstand the present market difficulty. If the company, on the other hand is to survive, then the DEBT is real but then the company will prosper at least as well as any surviver in the battered telecom arena. The stock will then easily become ten times what it is now. Any thought on this cash v/s debt issue would be appreciated (what is the market value of the debt at this time, i.e. what percentage of the $ is it? Has it gone down lately?) Ghassan.