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Technology Stocks : MRV Communications (MRVC) opinions?
MRVC 9.975-0.1%Aug 15 5:00 PM EST

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To: Renee Scherb who wrote ()10/30/1996 5:58:00 PM
From: William Caldwell   of 42804
 
For everyone's information, I just picked this up at www.techweb.com:

MRV Communications A Buy
from October's INFRASTRUCTURE

"... MRV Communications has been an amazingly volatile stock. Its markch to higher prices was relatively steady until certain momentum-oriented newsletters got whiff of the firm's strong fundamentals, making a "buy" recommendation at prices right about where we are recommending the stock today. The stock blasted into the stratosphere, appreciating roughly 100% in eight trading days in May. July came and the broad market correction saw MRV Communications' shares crash to an intra-day low of $11 3/4 on July 16. On Friday, October 25, MRV Communications closed at $21 1/2. We believe that for the long-term investor, the company makes for an attractive investment. It is not often that INFRASTRUCTURE recommends "high-flying", high p/e stocks but, in this case we ar making an exception given the company's exceptionally strong management, past history of flawless execution, the leverage they have been able to obtain by securing fast entry into emerging markets and last but not least, the strong growth in each of its underlying industry segments the company participates in. We would only recommend a very small percentage of one's portfolio be allocated to MRV Communications at this time because we believe volatility will allow investors to buy cheaper at a later date. But timing the market is always a challenge, so we consider $22 or less as our recommended "first entry" level. We would advise that investors not make purchases beyond 1/3 to 1/2 of the total allocation of MRV Communications they would envision as appropriate for their portfolio."
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