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 : Creative Labs (CREAF) -- Ignore unavailable to you. Want to Upgrade?

To: Fred Fahmy who wrote (11159)	5/1/1998 10:49:00 PM
From: Doug Fowler	Read Replies (2) \| Respond to of 13925

Fred: You seem to be the voice of reason with regard to Creative. I have been patient, but my tolerance for this stock lessens every day. The company is not growing sales. They made several acquisitions last year, and they are struggling to show a few percentage point gain in revenues. They did a good job of squeezing their margins. I don't expect any more improvement there. I am not convinced one bit that DVD is going to do anything significant for them this year. That market is just not taking off, and I don't see what is going to change in the next six months. I remember being at the Consumer Electronics show in January 1997. Everybody exhibiting was wetting their pants over DVD. "1997 was going to be a big year for DVD and 1998 was going to be great." It's the same old story. In fact, I wouldn't be surprised to see DVD become one of the biggest flops of the technology revolution. Obviously, the market is not buying the Creative story. And I get the impression that Sim is not nearly as excited about its future as he was three months ago. What is Creative doing to take advantage of the Internet? Why aren't they playing in the RealAudio space? Where is the imagination here? What do you see as the biggest threat to Creative? -Doug