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Just saw this article; thanks. Enjoyed the talk about ARMHY, and was intrigued with MIPS. I know little about MIPS, but am interested. It appears to be a $1.5 billion California-based RISC designer and developer for embedded systems. The company has no debt, nice margins (100% gross, 35% net), increasing revenues and EPS (Q4 recently beat estimates by $.02), and P/E of 70. Current share price is about 40% off their 52 week high. Their business model appears to be fab-less, IP-based, with revenues largely resulting from licensing and royalties. A partnership with TXN is rumored to be in the works. Potential markets appear quite large.

The Smart Money article suggests that ARMHY and MIPS would be a nice complement to one another, and it would appear so to me, but I don't follow the company.

I must admit that on initial inspection, this company certainly looks interesting to me. Questions for rats, particularly those who have done DD, as opposed to my cursory quick glance:

1. Can ARMHY and MIPS coexist? Is there room enough for both?

2. What do you think of their business model and growth prospects, both near and long term?

3. Do you see any good news/bad news in this picture that I'm missing?

Thanks,

Walkingshadow
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