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Technology Stocks : Deswell Industries (DSWL) -- Ignore unavailable to you. Want to Upgrade?

To: Michael Burry who wrote (1227)	3/16/1999 10:50:00 AM
From: Ron Bower	Respond to of 1418

Mike, While the big news is the DOW hitting 10,000, no one seems to be noticing that the HangSeng is near 11,000 - up from 6400. As I read various news articles, there's an optimism in Asia that they've passed the bottom and the economies are improving. IMO the selling the last few days is giving up on Deswell along with all of the anti-China sentiment in the news. As one post said - "they don't have Monica anymore". Thinking about earnings this past Q. If they average .39 per Q = $1.56. That would be a PE under 6 on current price or a 17% ROI. At BV and well under actual value, if that's the downside, beats most anything I'm seeing out there. I am hoping for continued weakness in price as I have some recent buys that I want to play out before I buy more. I'm watching the volume and will jump if I think it's going to move. FWIW, Ron

To: Michael Burry who wrote (1227)	3/16/1999 2:17:00 PM
From: Ron Bower	Respond to of 1418

Mike, Per Yahoo posts- Buying the entire company. 12-30-98, they had net cash liquidity of $7.34/s. At $9.00, buying the fixed assets for $1.66 - probably less than earnings this coming year, far less than the cash they will generate. One year from now, they probably will have over $9.00 cash depending on capital expenditures. BV was $8.75/s. A conservative actual value after minority interests would be over $12.00/s. At $9.00, getting the company at a 25% or greater discount to the net value of cash and assets with no allowance for goodwill = earnings. Didn't add yesterday and now regretting it. Oh well, maybe it will soften again. FWIW, Ron

To: Michael Burry who wrote (1227)	3/23/1999 10:15:00 AM
From: Tim Cruise	Respond to of 1418

Every one still adding? Been watching for over a year, maybe it's time to finally come on board. Tim

To: Michael Burry who wrote (1227)	3/23/1999 4:51:00 PM
From: Ron Bower	Read Replies (1) \| Respond to of 1418

Mike, Time to make a phone call? Your turn. I've been wondering why they haven't been more aggressive buying back shares. I know they want to maintain a strong cash position, but buying in this range seems almost mandatory. 500K shares under $10.00 would reduce dilution by almost 10% and have minimal effect on cash liquidity. It also might make it possible for them to convert options if they have to sell half to pay for the rest. Surely they know it's down to this level. JMHO, Ron