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Technology Stocks : APSG - Applied Signal -- Ignore unavailable to you. Want to Upgrade?

To: SuiteStock who wrote (805)	5/30/1998 10:56:00 AM
From: Mark	Read Replies (1) \| Respond to of 884

SS - That's a great post. I can't fault the logic, except the comment that the known backlog will clear in the next few quarters - These big orders may have call-offs spaced over a number of years, so it is not right to assume that any backlog can quickly be converted into revenues. However, this point is largely moot. There is a high probability that APSG will meet their revenue targets for the year, and if they continue to get maintenance work (like the Y2k stuff), then they can afford to be low on sales revenues as GMs will be significantly higher, and they'll still meet earnings targets. I am seriously contemplating increasing my position. I could have kicked myself for missing $10 last week (especially as I read about the board meeting and suspected that an increased buy-back would be a likely consequence !) I think I will wait a few days more, and see if I can get any <$11. If the market generally weakens then I might get some. However, I suspect that I may now be unlucky. It seems likely that there is a lot going on behind the scenes at the moment to improve shareholder confidence, and it would not now surprise me to see the price slowly and steadily strengthen. I can at least console myself that my present holding cost <$10, so anything I add will therefore be averaging up (assuming we do not go much lower than $10, which I suspect will require a major market collapse !) Mark