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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Michael C. Woodward who wrote (3107)	5/23/1998 8:48:00 PM
From: Michael C. Woodward	Read Replies (3) \| Respond to of 60323

This is about as down as I have seen this thread since I have been on it (October 1997). If you are not in SanDisk for the long-term, you are going to have a very tough road ahead. And who knows for how long. If you are in it for the long-term, wait it out. Hey, none of you guys can be as bad off as me. My wife said to sell our shares when it hit its high at $39. I said, "No way, we have made too much money this year, we'll sell it in 1998." How many times do you think that I have heard about this this year? SNDK is in the high tech sector, which is basically flat or down. You can be performing, but if your in an industry that is in disfavor, your stock will generally not move. Here is some information (mostly positive) that I pulled from Datek. 1. Wall Street Recommendations (Not great, but could be worse) Strong Buy - 1 Moderate Buy - 3 Hold - 1 Moderate Sell - 0 Strong Sell - 0 2. SNDK is ranked 12 of 33 companies in Comp-Storage Sector. 3. Financials are steady even if they aren't spectacular look at the 4 year performance (FY97 - FY94) Revenue 125.3, 97.6, 62.8, 35.4 Gross Margin 57, 41.2, 27.8, 9.3 Operating Profit 19.7, 12.5, 7.8, -4.8 Net Income 19.8, 14.5, 9.1, -4.3 EPS .79, .6, .45, -.25 Operating Cash Flow 23.8, 16.8, 10.7, -2.3 4. NO LONG-TERM DEBT 5. Performance Ratios vs. Industry Return on Sales % 15.72 vs. -131.7 Return on Capital % 10.35 vs. -17.8 Return on Equity % 10.35 vs. -37.3 Debt/Total Assets % 0 vs. 12.5 6. Three year revenue growth rate of 52.4 vs. industry of 31.2 7. EPS forecast by analysts for FY98 is 0.89, vs. 0.79 for FY97. Not exactly a positive forecast and it doesn't help the stock. 8. Who holds SNDK stock? Of major shareholders. Hell, these people must know something. Institutions 24.2% Mutual Funds 14.0% 61.9% SEAGATE 23.7% 9. Institutions Fidelity Mgmt & Res Corp 7.7% Invesco Funds Grp Inc 3.1 Denver Invt Advisors LLC 2.8 Dawson-Samberg Cap 2.3 Nicholas-Applegate Cap. 1.8 Wellington Management Co 1.6 Aim Mgmt Group Inc 1.4 Delaware Mgmt Co 1.3 Mellon Bank Corp 1.2 Barclays Bank PLC 1.0 10. Mutual Funds Fidelity Growth Company 7.2 Invesco strat-Tech 2.3 Aim Aggressive Growth 1.1 Brandywine Fund 0.9 USAA Aggressive Growth 0.7 Federated Growth Strat 0.4 Invesco Small Co Growth 0.4 Master Inv Tr Cap 0.4 Founders Frontier Fund 0.3 Berger New Generation 0.3