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Technology Stocks : SSA (SSAX) BPCS/Client Server -- Ignore unavailable to you. Want to Upgrade?

To: Donald A Dahl who wrote (347)	12/10/1997 1:10:00 AM
From: Warren Gates	Read Replies (2) \| Respond to of 915

SSAX scenarios for next fiscal year: 1. 34% revenue growth gives $576M. Profit margin increases from 7% to 8% giving net of $46M which is about $1.04 EPS. PE of 20 gives a stock price of 21. PE of 30 gives a stock price of 32. 2. 30% revenue growth gives $559. Profit margin at 7% gives net of $39M which is about .88 EPS. PE of 20 give stock price of $17. 3. 25% revenue growth gives $537. Profit margin at 6% gives net of $32M which is about .73 EPS. PE of 15 gives stock price of $11. 4. 20% revenue growth give $516. Profit margin at 5% gives net of $26 which is about .58 EPS. PE of 15 gives a stock price of $8. Then again, the company may decide to shoot itself in the foot and charge all their quarters to death. Or, it may just become another BAAN, revenues accelerate to 40%, margins grow to 10%, gains the respect and corresponding PE of 40 on $1.37 EPS and stock goes to $55. Risk to reward scenarios for you to consider, folks.