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Technology Stocks : LEIX Lowrance Electronics a GPS Sleeper? -- Ignore unavailable to you. Want to Upgrade?

To: FIFO_kid2 who wrote (45)	3/8/1998 9:11:00 AM
From: Leo Francis	Read Replies (1) \| Respond to of 186

Jeffrey, from LEIX's recent Q press release: "Current order backlog is approximately $11.0 million compared to backlog of approximately $21.0 million at this time last year. Last year's backlog reflected initial orders for a variety of sonar and GPS products that did not begin shipping until late in the second quarter." They were "backordered", or just plain late last year. I am not overly concerned about revenue for LEIX. Even if they "only" generate 100 million in sales, and they keep the expenses in the 24 million dollar range, they will generate profits. The focus now I believe, for LEIX, is to string some profitable Q's together. I then think, after the stock climbs, (substantially) they will issue new shares to wipe out any remaining debt, and generate capital for further growth. I am aware of Kennedy's stake in LEIX, but have not followed their investments. I agree with you, that with improving fundamentals, thinly traded stocks can really surge. Yes, thinly traded stocks offer less liquidity, but there is risk in all investments. I also like the fact, that since LEIX is thinly traded (currently-g-), that it really does not follow the general market. A market which may be nearing a short term pull back. If LEIX's report is good, we should see a healthy pop, as their stronger Q's are forthcoming, and the price may reflect this anticipation. That is why we may see 10-12 this month. We'll see. Good Trading, LF