The Hedge Funds want a for sale sign in front of PLXT... but
If management can deliver the ~25% growth they anticipate in PCI express nad the earning analysts anticipate.... $.28 this year and $.47 next year.... why sell the company, now. A year and 1/2 from now this will be a $10 stock. Why take $6.50 cash today
this management team has been promising this kind of growth for 10 years. This is the same managment team that made two disastrous acquisitions with basically the same Board of Directors. Ther new president was their VP of Marketing for a number of years and what did he accomplish other than putting together a number of fancy presentations and spread sheets. There has been a large turnover in their sales organization. When a sales porganizations turns over at a high rate this generally means there are other issues with the firm, but the sales peoiple get blamed. for lack of products, or poor execution in defining markets, etc.
I take your points. Mr. Raun has been CEO only a few months. We should give him 2 quarters. So by July either the trend to earning $.28 this year with 25% growth in revenues is in place or sell the company?