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Technology Stocks : Acrodyne (ACRO) is one of two pure plays in the TV -- Ignore unavailable to you. Want to Upgrade?

To: ken whited who wrote (911)	1/21/1998 5:53:00 PM
From: Karl Drobnic	Respond to of 1319

ACRO is a manufacturer. It needs backlog, a history of the time it takes to turn backlog into sales, and then announcments that add to backlog. Then such things as profit margins and earnings will become "forecastable". Presently, the sales come in randomly, and there are times when the "Hi-power Cupboard" is bare. Costs are tightly controlled, so when investors can perceive rising backlog, they'll start bidding up the shares in anticipation of steadily improving profit margins. ACRO can make money fast once it reaches breakeven. We saw that in 1995. Another 3-4 hi-power sales this qtr. could have a stunning effect. Another long lag in order announcements, on the other hand, would invite calculations of the burn rate of the cash, etc.