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Technology Stocks : Quintus (QNTS)

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To: sea_biscuit who wrote (93)4/12/2000 12:31:00 AM
From: J. P.   of 139
 
I think this stock will be fairly valued for future earnings when it's in the low teens. I expect it may even hit single digits if and when the Nasdaq bottoms around the 200 day moving average (around 3500).

I feel sorry for those who bought into the mania. These companies sell up on the underwriter's hype and the floats are kept closely held to jack up the price some more. There was no justification for a 1 Billion cap until they can prove their ability to sell and expand their install base at a phenomenal clip like Siebel, Vantive, Remedy, or Clarify.

Quintus has a good product. It's highly customizable, and the CTI integration piece has promise if they can continue to improve on it. Maybe Mustang will help add some email functionality, but the Street hated the deal.

The drop in Quintus proves to me there is some justice in the markets. Let Quintus and others like it prove they are capable of finding a market and capable of maintaining strong sales to that market before rewarding them with a rich market cap discounting potential utopian earnings of a fully built out company.
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