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Technology Stocks : CSC Computer Sciences Corp -- Ignore unavailable to you. Want to Upgrade?


To: John Carson who wrote (104)4/16/1999 10:10:00 PM
From: Orwell  Read Replies (2) | Respond to of 125
 
CSC needs to answer some important investment questions. Does anyone out there know:

Q1: Why is CSC's profit margin so low? I.E. less than 5% Do they underestimate their expenses when they sign these big deals, and then struggle to make a profit?

Q2:Why are their cash levels so low too? For a company wish such huge revenues and cash flows, they don't seem to be able to build up much wealth.

Q3: Why are estimates for CSC around $0.70 for upcoming quarter, but then falling to $0.50 for the following quarter? Are there charges or something that analysts are anticipating for that next quarter?

I like the idea of CSC, and the business model, and their continued winning of contracts. But will CSC be a profitable investment for me?

O.