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.

Technology Stocks : BORL: Time to BUY! -- Ignore unavailable to you. Want to Upgrade?

To: Lewis Edinburg who wrote (9205)	2/24/1998 2:36:00 PM
From: John	Respond to of 10836

I am curious how high you think BORL should go in the short term. I think 10 is a generous valuation. BORL is doing well turning around, but they only earned 6 cents last quarter. There is uncertainty on how well they will integrate VSGN and whether the dilution will effect earnings. Lets say they earn the next 4 quarters .08, .10, .12, .14 = .44 for the year. That gives it them a PE of 22, seems reasonable to me, why should it go up much higher. I am playing BORL conservatively right now. I recently wrote 20 VOBAB (Jan 10 calls)and received 2 1/16 a contract. My original purchase price for BORL was 6 1/4, so I reduced the cost of my position to 4 1/16 per share or $8,125. If BORL closes > 10 next January I get $20,000 which is 150% profit on my position. Hopefully the options I wrote will expire worthless and I will get to write another batch of options next year. JV.