Deutsche Banc Alex. Brown's Raj Srikanth Rolls Out Coverage of The Optical Networking Sector
NEW YORK, May 25 /PRNewswire/ -- Raj Srikanth, Deutsche Banc Alex. Brown's recent addition to its technology research team, today rolled out coverage in the optical networking industry with the initiation of JDS Uniphase Corporation (JDSU -- $83.50), Ciena Corporation (CIEN -- $99.75), SDLI Inc. (SDLI -- $175.31), and E-TEK Dynamics, Inc. (ETEK -- $176.06). JDS Uniphase and SDLI both were initiated with STRONG BUY ratings, while CIENA and E-Tek shares were given BUY ratings.
The investment strategy proposed by Srikanth includes acquiring a basket of early public leaders in this sector with careful monitoring of new private companies. He also emphasizes that optical networking must be a core holding in a strong investment portfolio.
Srikanth asserts that the optical networking industry is the future of the communications market based on the following key factors:
-- The move to optical networking will be very rapid and faster than
expected.
-- The demand for bandwidth is exploding due to the growth of public
Internet/corporate data networks, competition and deregulation. This
increasing demand will lead to the "opticalization" of the network.
-- Optical components technology is rapidly driving the advancement of
optical networking. System vendors will buy integrated modules to solve
architectural demands.
-- Systems level architecture is assuming increased importance as
intelligent optical switch vendors move to dominate the core of this
new network.
-- The demand/supply imbalance for optical components is projected to
continue through 2003.
Raj Srikanth joins senior analysts, Brian Modoff (wireless equipment), Tom Bain (communications semiconductors), George Notter (telecommunications equipment) and Jim Wade (data networking and communications infrastructure) to complete the Deutsche Banc Alex. Brown communications technology research team.
Deutsche Banc Alex. Brown identifies the U.S. investment banking activities of DB Alex. Brown LLC and Deutsche Bank Securities Inc., which are indirect subsidiaries of Deutsche Bank AG. With over $869 billion in assets as of September 30, 1999 and approximately 90,000 employees, Deutsche Bank offers its clients unparalleled financial services throughout the world. It ranks among the leaders in asset management, capital markets, corporate finance, custody, cash management and private banking. Deutsche Bank is divided into five major business units: Global Corporates and Institutions, Global Technology and Services, Asset Management, Corporates and Real Estates and Private and Retail Banking.
Deutsche Bank Securities Inc. maintains a net primary market in the common stock of CIENA Corporation, E-Tek Dynamics, Inc., JDS Uniphase Corporation and SDLI, Inc. Within the past three years, Deutsche Bank Securities Inc. or its wholly owned subsidiary, DB Alex. Brown LLC, has managed or comanaged a public offering of CIENA Corporation, E-Tek Dynamics, Inc., JDS Uniphase Corporation and SDLI, Inc.. CIENA Corporation, E-Tek Dynamics, Inc., JDS Uniphase Corporation and SDLI, Inc. stocks are optionable. A director, officer, or employee of Deutsche Bank Securities Inc. serves on the Board of Directors of E-Tek Dynamics, Inc. and SDLI, Inc..Within the past three years, Deutsche Bank Securities Inc. or its wholly owned subsidiary, DB Alex. Brown LLC, has participated in a private resale of securities made pursuant to Rule 144A under the Securities Act of 1933 for E-Tek Dynamics, Inc. and SDLI, Inc..An author of this comment has a long position in the common shares of E-Tek Dynamics, Inc.
Information herein is believed to be reliable and has been obtained from sources believed to be reliable, but its accuracy and completeness cannot be guaranteed. Opinions, estimates, and projections constitute our judgement and are subject to change without notice. This publication is provided to you for information purposes only and is not intended as an offer or solicitation for the sale of any financial instrument. Deutsche Bank Securities Inc., DB Alex. Brown LLC., and their affiliates worldwide, may hold a position or act as market maker in the financial instruments of any issuer discussed herein or act as advisor or lender to such issuer. Transaction should be executed through a Deutsche Bank entity in the client's home jurisdiction unless otherwise permitted by law. Deutsche Bank Securities Inc., and DB Alex. Brown LLC., are members of NYSE and NASD. Copyright 2000 Deutsche Bank Securities Inc., and DB Alex. Brown LLC. In the U.S. this report may be distributed either by Deutsche Bank Securities Inc., or DB Alex. Brown LLC. Interested parties are advised to contact the U.S. entity they currently deal with, or the U.S. entity that has distributed this report to them.
SOURCE Deutsche Banc Alex. Brown
/CONTACT: Devereux Socas, 415-617-2887, devereux.a.socas@db.com, or
Christine Cortezi, 410-895-3418, christine.cortezi@db.com, both of Deutsche
Banc Alex. Brown/
/Web site: dbgroup.com
(DBK JDSU CIEN SDLI ETEK)
JDS UNIPHASE CORP - JDSU
Price 79
Net Change -4 1/2
Volume (000) 4
Day High 86 1/8
Day Low 77 1/4
CIENA CORP - CIEN
Price 104 1/2
Net Change +6 13/16
Volume (000) 0
Day High 109 7/8
Day Low 99
SDL INC - SDLI
Price 168
Net Change -7 5/16
Volume (000) 0
Day High 188
Day Low 164
as of
05/26/00 08:32 AM EDT
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