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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (73168)	7/26/2023 9:25:23 AM
From: Elroy	Read Replies (2) \| Respond to of 78954

You've owned the stock a long time, and must know the business aspects pretty well. Buyout or not, you would be green in it. My cost basis is about $5. It's actually a good business, high volumes in necessary products, but considered low end tech so as a standalone it will never get a high valuation. It usually traded around 8x to10x, despite some years (especially from 2011-15) putting up 25% annual revenue growth. Inside of MXL I can see SIMO's earnings stream getting a "diversified mid-range semi stock PE", which is probably more like 13x-17x. And MXL probably doesn't get the "Taiwan discount". And since MXL is fairly small, it can again become a takeover target for some big semi stock wanting to grow by acquisition. By Q4 2024 I'll bet the acquisition looks brilliant. But it will need to get past the current semi inventory correction, which seems like it has started to end and should be over by Q1 2024 latest.

To: Paul Senior who wrote (73168)	7/26/2023 10:32:34 AM
From: Madharry	Respond to of 78954

congrats to you too. I will have to make do with GOOGs nice numbers and and that the chinese about face on tech may lead to move ups for BABA and BAIDU. I read the transcript of the earning calls from ALLY and a write up on seeking alpha. and continue to believe that this is a no brainer value purchase at these levels., Their is a huge runway for car financings, the company has the benefit of having no brick and mortar. I think the company should earn at least $4 a share til the cows come home. I would think the stock could rise to $48 before being fairly valued, I will look to add more to my underwater position if it drops after Powell speaks.