U.S. Robotics (NASDAQ:USRX) up on Hitachi (TOKYO:6501) deal
Reuters, Wednesday, December 04, 1996 at 12:50
CHICAGO, Dec 4 (Reuter) - Shares of U.S. Robotics Corp rose
3-1/4 to 77 Wednesday after Hitachi PC Corp said it would use
the modem maker's high-speed "x2" technology in its notebook
computers.
"Hitachi has just gotten into the notebook business, but
they've got good machines that are very aggressively priced,"
said Amar Senan, an analyst with Volpe, Welty & Co. "It's
nothing earth-shattering but the bulls love it."
Hitachi PC is a unit of Tokyo-based Hitachi Ltd (NYSE:HIT).
Analysts also said a decline in U.S. Robotics on Tuesday,
after an analyst cautioned about a possible weak December
quarter, was overdone, providing a solid buying opportunity
today.
U.S. Robotics fell 7-1/8 to 73-3/4 yesterday.
"Basically, we think even if there is a blooper this
quarter it wouldn't scare us off unless it is very
significant," said Bear Sterns analyst Eric Blachno.
He reiterated his buy rating on U.S. Robotics.
The current fiscal first quarter is a transition for U.S.
Robotics as it prepares to launch its "x2" modem products.
|
