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 : Adaptec (ADPT) -- Ignore unavailable to you. Want to Upgrade?

To: Mark who wrote (2613)	6/12/1998 11:30:00 AM
From: Patrick O'Connor	Respond to of 5944

Mark, Sorry posted before I saw your last post. Patrick

To: Mark who wrote (2613)	6/12/1998 12:04:00 PM
From: Patrick O'Connor	Respond to of 5944

Mark, <<1) How do you figure a PE of 6 to 8 ? Do you have ANY figures for Symbios' profitability ? What do you think their earnings will look like by the time ADPT own them ?>> PE 6 to 8... you caught me guessing. However I did read a quote from ADPT CFO or CEO that said the purchase would be accreative in the first year and with the price still declining I think 6 to 8 will be close since we are basically at 9 now. Like an assumption of yours(that I read in one of your posts) I believe that you can apply ADPT to a Symbios model. I don't think their margins will be as good but I do think you will see profitability. I subscribe to a theory that people who sit around all day and think about things like spending $750mil have some plan as to what they are trying to accomplish. The past performance of ADPT would seem to indicate that their management might be better than average or more lucky. If it is the former then they will get this stock back in cruise mode, if it is the latter then they may have already spent all their good luck. <<2) Agree about the PSR numbers, but don't yet see these as "attractive". My buy point is a PSR of about 0.5 to 0.75 (according to the state of the market). (See - Message 4399826 >> Excellent post. Thank you. It was however based on a $20 a share stock price. What is your thinking at $14. Anyone who missed that post should go back and read it. <<3) "Owning production">> Agreed. <<4) I'm thinking short-term that the market is melting, and we might see < $10........>> I hope so. In about 2 weeks I have a lot more coin to look at buying even more. I'm only looking for a short term(2 to 3 months) goal of $20ish. Do you see this stock going lower than $10 and staying there? Thanks, Patrick