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To: Lizzie Tudor who wrote (29974)	8/2/2006 5:32:01 PM
From: bob zagorin	Read Replies (1) \| Respond to of 57684

here is GS update on ebay from yesterday... eBay Inc. EPS (FY Dec) 2006E $1.04, 2007E $1.30 Outperform/Attractive (EBAY) $24.07 Whats changed QTD listings for eBay (7/1-7/30) total 194.0mn, up 38.0% yoy and up 2.2% qoq, a moderation vs. last week. Our full quarter estimates assume a 34.1% yoy increase. QTD domestic listings total 87.5mn, up 23.2% yoy and up 2.4% qoq with US auction/BIN (core) and store listings QTD yoy growth rates of 11.8% and 78.9%, respectively. QTD international listings total 106.5mn, up 53.2% yoy and up 2.1% qoq. International auction/BIN (core) and store QTD yoy growth rates are 42.0% and 219.8%. Listings for the week totaled 42.2mn, down 13.1% wow with domestic listings down 23.2% wow following a two-day $0.20 insertion fee in the US last week and international listings down 3.0% wow despite capturing the first day of a two-day, 5-pence listings promotion in the UK this weekend. Mix of listings: QTD auction/BIN (core) listings accounted for 81.8% of total listings through 7/30. Our full quarter estimate for mix of auction/BIN (core) is 80%.

To: Lizzie Tudor who wrote (29974)	8/3/2006 12:13:44 AM
From: Elroy	Respond to of 57684

so how about that OVTI that was one of your favorites? Chips have been HAMMERED this year. But, it might be time to scale in? Or think about it anyway. I loved it because it was a good fundamental company which was ridiculously cheap, its was 5x ex-cash at some points last year, however now there are now so many other tech stocks that are cheap that the valuation argument in favor of it is not as persuasive. I own it and think it is a good buy down here (it's about 8x ex-cash now), but you're playing with fire every quarter. For a very highly profitable rapidly growing industry leader in an attractive industry it's too cheap and has too high a short position (20% of the float is short), and its an attractive acquisition candidate for TXN/FSL/MU and any of the large semis that want to be in cell phones, but competition is fierce and they could blow up any time. Fortunately they haven't yet, but its always possible. So I guess I'd say its high risk, high reward. Give them a normal 21x semi PE at some point over the next year and you have more than a double, or if they blow up due to "price pressures" you're going through the floor. They do have $6.50 net cash, so at least there is a floor....