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 : Novell (NOVL) dirt cheap, good buy? -- Ignore unavailable to you. Want to Upgrade?

To: Spartex who wrote (25409)	2/11/1999 5:50:00 PM
From: Don Troppmann	Respond to of 42771

Quad-K: According to your calcs, and I know this is speculative stuff, but it appears that NOVL would deliver about 17.5% NET earnings. (ie: $1,3 M revenue X 17.5% NET = $227.5 M NET Earnings. 330M shares = $.69 per share) Assuming 20% annualized revenue growth (without Digital Me) in the year 2002 revenues would be $2.25B X 17.5% NET = $393M NET Earnings, or approx $1.20 per share. If Digital Me adds $500M in additional revenue, by 2002, and NET is still only 17.5% that adds another $.27 per share. In 2002: At 30 times trailing earnings = $44 per share At 40 times trailing earnings = $59 per share I agree with Paul. I think NOVL is in a bullish trend. Don T.