Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Radica Games (RADA) -- Ignore unavailable to you. Want to Upgrade?

To: jerald morse who wrote (1635)	1/5/1998 11:11:00 PM
From: Anthony Marks	Respond to of 7111

Back from vacation. A little bummed about the current stock price, but that's stocks. Skip- I can't tell you how many times you have made me laugh in the last 4-5 months. You have kept me hanging in there a couple of times when the chips were down. You're a character, and I mean that in the best way. Do us all a favor though and let us know when you decide to take profits, I don't want to watch the ticker that day. From the sound of your buying you may have to file to sell. While on vacation (Oregon) I did the obligatory local store search for Radica. It was the same story every where, no Radica games. Asked a girl at Walmart, she said "No we don't have bass fishing, in fact we don't have any of those damn fishing games, there all gone. I've had a million calls today". To which I said "that's great"!!!! I got a funny look. Jerald, I agree with your last post but I think Q1 might be another surprise for us for several reasons. I'm sure that the reordering has been unusually heavy to refill shelf space as well warehouse space. Stock levels were not just depleted they were wiped out everywhere. I suspect that the bulk of these orders will be placed by Jan 31 and with Radica's new capacity I expect allot of units shipped by then as well. My point is orders may have been placed and filled in Q1, just not in time for XMas. David talked about scaling back after Xmas but I have hunch that won't be necessary IMHO. Lets not forget that Lunker should be shipping in mass version as well. I personally think that Lunker will be HUGE for Radica. Just another view. Analyst coverage is a bitter pill. You feel good when they like the stock and project great earnings. Hold it too long and one day they cut estimates before the bell and it's all over before you can even get your computer turned on. Nothin but the crying. I would enjoy the press and the quick rise but the truth is the stock will get there on it's own merit it will just take some time. Anyway Analyst usually make it to the picnic just in time to help find the Frisbee and load the cooler back in the car. FWIW Anthony

To: jerald morse who wrote (1635)	1/5/1998 11:21:00 PM
From: chaz	Read Replies (1) \| Respond to of 7111

Didn't hear about the fakes. Was that reviewed here and I missed it, or can I find news of it elsewhere, or would you mind reviewing it again. Was it in the CC and I missed it? Chaz.

To: jerald morse who wrote (1635)	1/6/1998 11:29:00 AM
From: Wayne	Read Replies (2) \| Respond to of 7111

jerald, David, jerald I agree with some of your analysis on the lower PE level but still feel that it is abnormally low, even for Radica. For Radica to be trading at it's 50 d MA is not the norm. Considering that most of what you mentioned is not new to Radicas situation and has not impacted the stock over the past year, I tend to think the point on the Asian market and perhaps a larger rest due to a steady one year run are the larger reasons. A strong Q1 should calm concerns over Radica being effected by the Asian contagion and I doubt very much that we won't see a pre earnings run if not a sooner move, (as Gary also pointed out). I don't think Radica is looking to go to a trailing PE of 7 to 9 on Q1 so as you and many others know patience is a virtue. As far as supply, and perhaps David can elaborate on this point of view, It would seem that if their crew size is still close to what it was at cc, they must have built a lot of product from the last 3 weeks leading up to Christmas to now. It is my understanding that it takes a few weeks or longer for the product to reach the shelfs but if it was ordered direct then the money is in the bank and the flow of stock must be comming. The other cases are that Radica is building inventory in a large way ( I doubt after 1995) or the workers are not working, Given that the size of work week may have tapered down from pre Christmas levels, the crew size still says a lot and is about 150% larger then it was last Q1. The product is going somewhere and is being paid for. David, can you tell us what current work force size is and/or unit capacity per week. If I recall correctly at the time of conferance call it was 300,000 units per week. As long as I'm picking your brain could we find what the average unit/week levels were in Q1 1997 as well. I get the impression that units per man hour may have also increased over the past year or are they about the same. I realize the current level of units may not be info you release for competative reasons but thanks for your help on any iformation that is not a over the line. Best wishes to all, Wayne