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Strategies & Market Trends : Electronic Contract Manufacture (ECM) Sector -- Ignore unavailable to you. Want to Upgrade?

To: paul kneitz who wrote (1699)	9/2/1998 9:09:00 PM
From: David Seltzer	Respond to of 2542

I can't account for the slide in price.The 4 items that might be considered mildly negative: 1.Consumer reports recently rated digital and analog/digital phones.Ericsson did not fare as well as Nokia,Qualcom,et al. 2.Currency fluctuations may affect the company to a greater extent then they did in the past(see page 12 of the 10-K). 3.Some stock options have been repriced,in other words, exercise prices have been lowered.I don't approve of this policy,although many companies do it(and I understand the reasons why). 4.Write-offs always worry me if they become habit-forming.I don't know what write-offs might be taken in the next 3 or 4 quarters,but I always worry about them(other posters might have a better idea about the timing and magnitude of the charges). In summary,nothing can account for a price of $25.To some extent,I am grasping at straws by listing negatives.SANM is paying $213 million for ALRN,a company with $200 million in revenue and an eps of $.80.Is FLEXF worth less than $600 million? David