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Technology Stocks : Acrodyne (ACRO) is one of two pure plays in the TV -- Ignore unavailable to you. Want to Upgrade?


To: jacob husak who wrote (1051)4/25/1998 4:49:00 PM
From: Karl Drobnic  Read Replies (2) | Respond to of 1319
 
Jacob: To get you started, 150 ACT transmitters at $800,000 each would be $120,000,000 in sales. But $800,000 - the price of the Las Vegas ACT transmitter - might be low since we can assume ACRO wanted to get that first sale made. Also, once ACRO gets over $12 mil. in sales, margins should begin to go up dramatically. We were on our way to rapid margin improvement in the last 6 months of 1995, when ACRO last operated at a profit. If ACRO is once more operating profitably, as some of us believe, we should get a peek at the potential for margin improvement. This is a simple manufacturing story: keep costs controlled, sell enough product to take your factory to capacity. That can happen very fast at ACRO.