This kind of thing has me concerned, from Thomson I watch just now:
RBAK -- Netwrk & Comm Dvcs -- Technology
12-Oct-00 11:16:34 Redback Networks has dropped $7 9/16 to $105 on
strong volume, despite reporting better-than-expected 3Q earnings
after the close Wednesday. RBAK booked a profit of $0.02, compared
to the $0.02 loss forecast by the First Call/Thomson Financial
consensus estimate and stated revenues of $80.6 million, a 65%
sequential rise. Analysts' reports on the quarter are very
positive, praising the firm's strong revenue growth and return to
profitability. In fact, several analysts raised their earnings
forecast for RBAK. However, a surge in institutional selling has
dragged the stock underwater, amidst the broader market weakness.
Block trade volume is unusually strong with 37% of RBAK's total
volume stemming from trades of 10k shares or more. For example, 100k
shares traded at 9:42 AM for $111 1/4, or the best bid, indicate the
trade was on behalf of a seller. RBAK has tested a key support area
in the upper $90s, bounced higher off its intra-day low of $98. The
I-Watch pre-trade market suggests some active institutional bidding
on the decline, which has contributed to the support. Keep in mind
though, that a good portion of the institutional activity on I-Watch
is related to market makers. Volume stands at 6.5 million shares,
nearly double the 10-day daily average.
I'll really watch jnpr but it sure isn't having much of a run today or glw |
