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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Don Hess who wrote (4591)	1/29/1999 10:52:00 PM
From: Craig Freeman	Read Replies (1) \| Respond to of 60323

Don, why not do it all here? In any given day there aren't that many posts. The words <Off Topic> or <OT> can begin a post that isn't all about SNDK and signal the reader to hit next if he is totally Sandisk-centric. We've got a great group here of smart people who care. I'd hate to see it broken into pieces. I'd also hate to see it degrade into the typical flame-a-thon thread. Perhaps we could elect a leader (Ausdauer?) to get tough on folks who abuse their privileges. What say kind sirs? Craig Example inspired by Ausdauer's comments about his reason for investing in SNDK: <OT> Anyone interested in putting their kids through college should start with the new $500/year tax-free "College IRA". If there ever was a use for an S&P Index Mutual Fund, this is it. Vanguard will do an S&P fund IRA with a $1,000 minimum but that's not a problem. Just contribute $500 now (to a lower minimum or MM fund) and $500 more on 1/1/2000. A week later (to allow time for check processing), you can telephone transfer the whole wad to their S&P Index Fund.

To: Don Hess who wrote (4591)	1/30/1999 1:26:00 AM
From: Bill Zeman	Read Replies (2) \| Respond to of 60323

OFF TOPIC Good idea Don, (using the SNDK thread to post investment ideas), especially since so many of us have just secured some SNDK profits. I sold 1/2 my position yesterday at 28 3/8, and like many of you, have some cash to invest now. Here's my hot tip. IDTC. They are a telco wholesaler building out their own network. They are profitable, and look good long term. Howard Jonas is the CEO, (former AT&T exec b4 break up). He has built the company from 11 million/YR to 600 million/YR. The real sexy thing about this stock is that they are also the leader in internet telephony. They have a product called Net2Phone which allows domestic calls anywhere, anytime 24/7 for $.05/minute. They have over 1 million users already, (of which I am one), and the quality is only slightly worse than normal phone lines. Here's the best part. They also have all kinds of different internet telephony products. One of which is called Click2Talk. Click2Talk allows internet shoppers to talk directly with e-tailer customer service reps just by clicking on a button and picking up their phones. Many studies suggest that one of the biggest things holding back internet retailing is that people want to be able to talk to a live human being. IDTC solves this problem. Starting Monday, Feb. 2nd, they are launching a portal called EZsurf. ezsurf.com They have already signed up dozens of big name etailers to use this technology including Yahoo and 1-800-Flowers. The stock closed today at 15 1/2. It is down near it's lows because they have had earnings hiccups very similar to SNDK. Just like SNDK it had hit an high of 40 and came all the way down to 9 1/2. Just like SNDK, there was nothing fundamentally wrong with the company, just growing pains. (Their latest earnings pre warning was caused by such rapid growth, their margins got sgueezed because they had to go outside to route all their calls). Nice problem, having too much business. Another drag on earnings has been all their investment in the internet side of the business, (IDTC also is one of the top ten ISPs). In order to remedy this they are planning a spin off or an IPO, the timing of which was described in the recent conf call as emminent. The spin off or IPO would contain all the internet side of the business. This excitement is what has probably caused most of the move from the recent low of 9 1/2 to the current 15 1/2. Independent news sources such as marketwatch have been touting IDTC as an internet stock that can still be had on the ground floor. Steve Harmon and Macromedia list it in their ISDEX, (internet stock index). It has a book value of 10 1/2, $6.50/share in cash, very little debt, an excellent ratio (like SNDK), great fundamentals in their core business, already profitable, and with all their internet technologies soon to be priced into the stock, I see very little down side risk. This one at 15 looks so much like SNDK did when it was at 10 it is almost eerie. Baring a general market correction, IDTC should see the 20's in a month or two, and $30-60 in 3 months to a year. All JMHO. Bill Z (28 7/8)