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

To: SiliconAlley who wrote (59900)	2/18/2016 4:15:46 PM
From: Art Bechhoefer	2 Recommendations Recommended By david1951 sndklong Read Replies (2) \| Respond to of 60323

Aaaaaaghhhhhhhh! Of course fundamentals matter, because they determine if the deal is reasonable. Most of the SanDisk patents (which generate royalties from competing firms like Samsung and Hynix) are valued at zero on the books. That's the nature of bookkeeping. But it means that the intrinsic value of SanDisk is a lot higher than its book value, a large proportion of which is in cash and marketable securities. $86.50 is still a cheap price, and I'm sure WDC knows it, as do the Chinese interests supplying $4 billion. How many times do we have to revisit the inherent benefits of the acquisition – for both sides? Art