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To: Susan Saline who wrote (15361)	7/17/1998 1:29:00 PM
From: r q lad	Read Replies (2) \| Respond to of 53068

VST update - bounce was very small (12 1/2), today it is consolidating in the 11's where it will probably stay. VST will see 15 (on announcement they have sold service side of the business) before they would ever see 6-8.. Anyhow, wanted to follow up, since I brought it up. Action is over and it may be a long wait for something to happen. Great timing on your INDO stocks Sue, congratulations. Randy

To: Susan Saline who wrote (15361)	7/17/1998 3:23:00 PM
From: DanZ	Read Replies (1) \| Respond to of 53068

DWRX. Ok, here's another stock that I'm buying based on fundamentals and what I perceive to be an overreaction. Dataworks has a book value of $6.29 and the trailing twelve month price to sales ratio is 0.80 based on the current price of 8 7/8. There are only 9.1 million shares in the float and that is contributing to the volatility. Here's how the balance sheet shapes up as of March 31, 1998. Figures are in millions of dollars and the number in parenthesis is dollars per share. ASSETS: Cash: 34,927 (2.46) Receivables: 53,854 (3.79) Deferred Taxes: 3,377 (0.24) Other current: 6,932 (0.49) Investments: 11,533 (0.81) Total Current Assets: 110,623 (7.78) Equip/Furniture: 9,636 (0.68) Capital Software: 6,742 (0.47) Intangibles: 5,772 (0.41) Other long term: 1,028 (0.07) Total Assets: 133,801 (9.41) LIABILITIES: Accounts Payable: 13,571 (0.95) Accrued Liabilities: 11,203 (0.79) Taxes Payable: 3,297 (0.23) Othered Deferred: 13,853 (0.97) Total Current Liabilities: 42,177 (2.97) Long Term Debt: 1,177 (0.08) Deferred Taxes: 964 (0.07) Total Liabilities: 44,318 (3.12) SHAREHOLDERS EQUITY: Common Stock: 83,803 (5.90) Retained Earnings: 5,537 (0.39) Adjustment: 143 (0.01) Total Equity: 89,483 (6.29) The company said in their press release that they expect sales for the June quarter to come in at $41 million. This would make their twelve month trailing sales $166,101 million, or $11.68 per share. With the stock trading at 8 7/8, the forward looking price to sales ratio is 0.76. The chart looks like crap and you will not be able to pick support based on it anytime soon. I'm putting my faith in this fundamental analysis and bought the stock today at 9 1/4 and 9. I may add more later. This looks like a complete overreaction to me and I expect the stock to trade higher next week after people get a better look at the valuation and press release. Dan