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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Art Bechhoefer who wrote (39100)	3/24/2008 9:06:46 PM
From: jokesonme	Read Replies (2) \| Respond to of 60323

Art, Good points...and you are right about the cell phones, I just think the stock itself doesn't move until SSD's come around...That is about the only thing right now that will differentiate the company and help margins...Cell phones will continue to give SNDK profits, but obviously that is not enough to get the street excited...nor do I think it will sustain them as margins continue to be stressed. (Sustain may be the wrong word...) I just figure that most analysts "get it"...we are the ones that don't...(Oh yeah and Craig Ellis from Citi) the fact is that yes, SNDK is making money right now (including royalties) and for that they are given a multiple (12-14)....They produce a commodity..I don't really know how much more they should get...I think given the situation in the industry, while it may not be all that good, SNDK's price is just about right... Considering rising expenses, shrinking margins, (probably) lower earnings, the new legal disputes, the dearth of CE or new products that have been announced, the NAND market miseries, Samsung overhang (which is crazy for people to consider given it is not for 15 months), thoughts of terrible recession (slower cell phone demand, etc), etc., we are where we are... Unfortunately, I see the stock going lower...no matter how excited you and I may be about the company's prospects. In reality, things could get worse for the stock before they get better...It's a shame that the company gets so litte respect these days...I would have thought by now the company could have created some separation between it and the other semi's...no such luck. Maybe this is impossible...I don't know if it's just part of the game or that management sucks...I've been blaming the latter forever, but I think I am wrong and it must just be the former...