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Technology Stocks : IDTI - an IC Play on Growth Markets -- Ignore unavailable to you. Want to Upgrade?

To: Rob S. who wrote (7697)	4/2/1998 11:42:00 PM
From: Samuel R Orr	Read Replies (3) \| Respond to of 11555

I wonder if any stock analysts have noted the ITC's recent ruling on SRAM dumping, and the tariffs imposed on various Taiwanese static RAM memory fabricating plants. It would not be hard to extrapolate the fact that tariffs ranging from about 8% to over 100% might not only firm SRAM prices, but result in a substantial increase. My only question would be how South Korea's Samsung escaped tariffs, but the implication would be they did not sell at dumping prices. That's a little hard for me to believe, but without data I'll say nothing. Beyond that, to make the matter even more clear, Micron, Cypress, and Integrated Device Technology are all American semiconductor memory companies who have their own fabs. In the case of Cypress, roughly 50% of their revenue comes from SRAMs. For IDTI, roughly 20 of their revenue comes from SRAMs. It seems to me that any stock analyst worthy of the name who follows semiconductors should be able to figure out the following all by himself: if the product a company is selling increases in price, higher earnings will follow. My economics 101 taught me that higher earnings, or even a promise of higher earnings, should result in higher stock prices. In case analysts read this thread, or if anyone out there knows how to put this simple explanation in front of an analyst, please take what I have carefully written to heart. One has to sometimes stick closer to fundamentals than excessive greed, momentum, or speculative buy-out rumors, to successfully forecast stock prices. Just a late-night sardonic thought.