Novell a great buy at these prices? Earnings will be up? Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Novell a great buy at these prices? Earnings will be up?

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Jean Sutherland who wrote ()	8/18/1996 10:54:00 PM
From: E_K_S	of 46

Hi Jean: You may need to get your Malox out for Thursday's release of earnings. I posted on the other board the July Computer Reseller News for industry sales as represented by their poll. You can discount the report as much as you want but it is just another report that tends to confirm the earlier VAR report. To summarize the results....Microsoft is gaining share in all product lines from Netscape, IBM and Novell. My guess for Q3 will be $0.15-$0.18 (gut feeling!). The May sales for Netware were probably very good and beat Novell's estimates. June sales were flat as Microsoft introduced their NT upgrade product. I think July sales were off Novell's internal estimates, while Microsoft had an excellent month. The good news is that one month does not make a trend and for Q4 we hopefully should gain momentum with the GreenRiver release. Novell has survived the NT product promotion blow and now can toot their own horn with their GreenRiver release. This is really what the market is keying on. It looks like the July numbers were not as good as Frankenberg wanted and the reason for his memo. Let's hope he has the troops at Novell 'hyped' up and putting their full efforts into this release. Finally, early indications of GreenRiver pricing (Netware 4.11) has several core customers angry (see Computer Reseller News August 19 for details). This is not good and the company needs to address this problem immidiately. Let's hope the June and July sales numbers more than off set the bad July numbers. Frankenberg can only reduce expenses so much. EKS P.S. As far as the stock price for Novell is concerned it is probably fairly valued at its current level ($11-$13). The market will 'key' on Q4 now and the unit sales of the upgrade product Netware 4.11.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next