CARRIER ACCESS (CACS)

[Kirk]

Check my math....
Revenue of $15.9M
Assume 20% growth next Q then three Q's of 10%
Give them ONLY a 10% net margin (they said 15% in 9 months is possible)
24.8M shares
get a quarterly earnings
multiply by 4 for a yr
give it a p/e of 20
what does that give?
Then discount it for 20% growth (nobody can grow at 50% for long) for a PEG of 2 (multiply by 2)
What do you get?
I think that is fair value TODAY.
upside is 15% margin and more growth for larger PEG.
-snort