This paper presents a class of digital transformations which generate

-level sequences having an autocorrelation function which remains nonzero throughout its domain in order to insure a narrow spectrum. In addition, any transformation of the class attains maximum redundancy and can be implemented by a simple one-bit memory stochastic machine. Most importantly, the autocorrelation function is obtained analytically which permits establishing for any odd value of

the set of level values which achieve optimum bandwidth compression.