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Technology Stocks : Oak Technology (OAKT) -- Ignore unavailable to you. Want to Upgrade?

To: The Joker who wrote (3987)	4/3/1998 1:13:00 PM
From: Eddie Kim	Respond to of 4335

This stock is a pure value play with a book value of 5.81. If OAKT slides back down below $6 I would seriously consider buying a truck load. Just what several weeks...OAKT pops up to $6 1/2...SELL! Pretty safe way, in my opinion to make 15%. I've already seen OAKT do this pop then slide back down routine twice this year. -Eddie

To: The Joker who wrote (3987)	4/4/1998 11:59:00 AM
From: AreWeThereYet	Read Replies (1) \| Respond to of 4335

Joker, Profit Margins are shrinking: True Competition is increasing: True But imo the stock is undervalued due to its low P/E and P/S ratio and a healthy balance sheet. The stock is suffered now mostly due to 3 reasons: 1. The street doubts if OAKT will successfully migrate its CD-ROM controller business to DVD. 2. Price pressure on ASP of ATAPI controller from new competitors. 3. The correction of chip-industry occurred last October. The poor sales/marketing of OAKT has disappointed me. I don't expect OAKT to have the same dominance in DVD market as in CD-ROM (60% market share) but 20 to 30% shouldn't be a big problem and that already means 300M+ revenue with higher gross margin. In addition the transition from LD/VCD/VHS to DVD and CDR/CDRW to DVD-RAM will open lots of opportunities for OAKT. The future is there; the problem is if OAKT can improve its marketing. aC