Cirrus Logic, Inc. (CRUS)

NeroSagetrade (44.16) Submitted: 1/22/08 10:20 PM : Start Price: $4.66 CRUS Score: 20.37

Yes, it's yet another semiconductor stock in my caps portfolio that I'm using as a contrarian pick. Cirrus Logic is most attractive from a paper perspective, especially the $2.56 in cash per share with zero debt. I am also digging the fact that George Soro's fund has taken a 5.16% stake in the company. That isn't to say that Soros is always right, but thats a big name backing a smaller company and I love it. CRUS is trading at 11 times forward earnings and is at just 1.3 times book value. Historically low valuations on all levels with a huge cash position should mean little downside is left here. Park your money for 3 years and watch it outperform the market.





Nero


Sagetrade

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