=C-Cube Microsystems Up Again; Unterberg Ups Rating
Dow Jones News Service via Dow Jones
By I-Chun Chen
NEW YORK (Dow Jones)--Unterberg Harris's ratings upgrade of C-Cube
Microsystems (CUBE) helped lift the company's shares for a fourth-straight day
of strong trading Thursday.
The brokerage firm on Thursday upgraded C-Cube to strong buy from long-term
buy. It also raised its earnings projections for C-Cube to $1.07 a share from
$1.03 for 1997 and 59 $1.33 a share from $1.24 for 1998.
Analysts said that even before Unterberg Harris' ratings were announced, views
on the digital video compression chip maker had improved.
"The general perception is the company has really bottomed out and is back on
the growth path," said Terrence McCrary, an analyst at Auerbach Pollak &
Richardson.
The Californian company has revived from relatively flat trading since the end
of July, after having experienced some wide swings in the past year. Within the
last 52 weeks, C-Cube has traded from a high of 50 1/8 on Oct. 10, 1996 to a low
of 16 3/4 on May 23.
C-Cube shares ended Wednesday at 28 3/16, a 20% increase from last Friday's
close of 23 9/16. Volume over the first three days of the week was heavy, with
more than 1.8 million shares changing hands on Monday, 3.5 million shares on
Tuesday and 3.4 million shares Wednesday.
The last trading day the shares closed above 29 was on Feb. 28 when shares
ended at 29 1/8.
"The company was in an oversold situation and now it's bouncing back to where
it should be," said McCrary.
(MORE) DOW JONES NEWS 08-21-97
01:25 PM
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:TICKER: CUBE ZRAN
:SUBJECT: SEMI ACOM CA STK
Copyright (c) 1997 Dow Jones and Company, Inc.
Received by NewsEDGE/LAN: 8/21/97 1:24 PM |
