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Non-Tech : Any info about Iomega (IOM)? -- Ignore unavailable to you. Want to Upgrade?

To: Gary Wisdom who wrote (42454)	1/5/1998 6:19:00 PM
From: Brendan2012	Respond to of 58324

>>Zip disc sales<< I think you mean drive here. Brendan

To: Gary Wisdom who wrote (42454)	1/5/1998 6:27:00 PM
From: Brendan2012	Read Replies (1) \| Respond to of 58324

Revenue looks a bit high to me, but margins look a bit low. I think margins will improve some due to Zip Plus and probably a better tie ratio. I think a tie ratio of about 10 is right on. Oh, after the split now, it's $.19 that you're estimating. Overall, it looks reasonable but a bit on the optimistic side. Brendan

To: Gary Wisdom who wrote (42454)	1/5/1998 7:37:00 PM
From: Michael Coley	Read Replies (1) \| Respond to of 58324

RE: 4Q97 Estimates. Here's my best guess: Revenues, $650 million. Earnings, $45 million. EPS, 0.16. With a 4Q97 EPS of 0.16, 1997 EPS will be 0.45. With a price of $13.25, that's a TRAILING P/E of under 30. Cheep, as some would say. ;) - Michael Coley - i1.net

To: Gary Wisdom who wrote (42454)	1/5/1998 11:03:00 PM
From: Dale Stempson	Read Replies (2) \| Respond to of 58324

Re: Earnings Forecast Gary, I reviewed your forecast and have a couple comments: 1) Early in the year, unit prices were higher than today. One example: OEM Zips now account for 35% of the total Zips shipped and are sold at lower unit prices. 2) We have no indication that Jaz sales will increase at the same rate as Zip sales. 3) I also think 2.5 million Zips sold is a more reasonable estimate. If they do happen to ship 3 million Zips, then you can be certain they will achieve Major cost benefits. IMO, your revenue estimate is too high and your net margin estimate is too low. The bottom line here is that if Jaz sales grow significantly, and Iomega does account for 3 million Zip units sold, then your revenue and margin numbers would offset each other and your EPS estimate of 19 cents (after split) would probably be very close. Regards - Dale