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Biotech / Medical : Colorado MEDtech, CMED -- Ignore unavailable to you. Want to Upgrade?

To: PaddyD who wrote (147)	11/11/1998 5:15:00 PM
From: Edward Larkin	Read Replies (1) \| Respond to of 288

This company has, and continues to be a gem. It is amazing how little attention company's garner, even after having net income go up 99%. There was a great deal of attention on the conference call by new participants, many were probably institutional investors in the recent share placement. I anticipate that there will be upward EPS revisions coming from many analysts and the company indicated on the call that 2 new analysts are in the process of preparing reports. The fact that this stock is now 30% institutionally held will help draw analyst attention. One thing that will contribute to the increased estimates is the repurchase of 650,000 shares by CMED, effectively reducing the fully diluted by about 5%, which adds about 2.5 cents annually to EPS. It was also very important that CMED once again approached having 10% net income on sales, despite this being the dog quarter. This bodes very well for the company's future prospects to increase the percentage of net income dropping to the bottom line to over 10% in the second half of the fiscal year. Atanasoff stated that the Company had received 5 new pieces of business in the quarter, and as usual, could not disclose names due to confidentiality agreements. Atanasoff also stated that getting and closing an acquisition in the fiscal year was one of the Company's top priorities. The annual meeting is scheduled for November 21 and will be well attended. I continue to see this thing as having a 5 year growth rate in the 30-40% area without acquisitions, which should justify a 30X multiple in a decent market environment for small caps. This gives this thing prospects for $15 in the next twelve months, and $20 over 18 based on Advests mid 60 cent 2000 estimate.