SI
SI
discoversearch

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.
Strategies & Market Trends : Gorilla and King Portfolio Candidates
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Sunny who wrote (12208)12/7/1999 8:36:00 AM
From: DownSouth  Read Replies (2) of 54805
 
Hey, Sunny. My gut tells me that JDSU has lots of steam left for
years to come, but even I don't buy based on feelings. Here are some
numbers from the analysts published yesterday

FIRST CALL survey of 34 brokers:
1999 2000 est 2001
EPS estimates .74 (act) 1.16-1.39 1.67-2.10
Implied median PE 196 135
Avg long term predicted growth rate 44%

I think these numbers are conservative, but I will not make
quantitative predictions. Of course, we have JDSU as a King, so the
following possibilities could knock it off the throne:

1. LU decides to build its own components
2. NT decides to build its own components
3. Company Y sees how lucrative the marekt is and decides to compete
head to head.
4. Backbone buildout slows due to excess capacity. Metro buildout
has not started yet to take up the slack.

IMO, all of these possiblities are low enough to take the risk. LU
and NT and others know they must focus on their core business, which
is to build and deploy their infrastructure devices. The skills and
startup costs for a competitor to suddenly appear (with complete
line of passive and active components) create a huge barrier to entry
at this time. Backbone buildout is not likely to slow over the next
2 years at least, and wireless device deployment will spur the growth
of metro fiber networks sooner rather than later.

Disclaimer: Remember, this advice is worth what you paid for it! Do
your own DD. I am long JDSU and want you to buy it for my own self
interest. THis is all my own opinion, and I am not a trained
professional.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News