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Technology Stocks : Tandem's Prospects

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To: Dan Spillane who wrote (61)5/22/1997 11:40:00 AM
From: RFF   of 99
 
TDM broke above $15 today. Its 52 week high was $14 7/8. The new higher profile strategy is definitely attracting some attention. I believe the stock can trade into the low $20s - represents around 15 times next years earnings estimates.

We'll just keep riding the Microsoft marketing machine for NT. It should provide a steady stream of new press releases.

We could also get a boost from upgrades. Currently, TDM has 2 strong buy, 2 moderate buy and 8 hold recommendations. With the recent strategy announcements (and price movement - analysts always seem to need big price increases before they have the guts to upgrade a stock) , analysts should be taking another look at the stock. Lots of room for upgrades - which tend to have a ripple effect - safety in numbers.
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