Swami,
Hmmm, don't know exactly. I added another lot around 6 1/8 and have been pretty happy with the strength. If we can make it past the year end tax loss we could see a nice Jan run. Who knows in this market.
Here is a post from Yahoo that is interesting. Worth a read.
Ignore this User | Report Abuse
NEWS: pt I
by: techwiz77 (37/M/Flushing, NY)
12/12/00 10:06 am
Msg: 31933 of 32103
08:00am EST 12-Dec-00 Moors Cabot (J.C. Simbana 415-288-2236) NEON
Moors & Cabot Technology Research Group
J.C. Simbana 415-288-2236
jcsimbana@moorscabot.com
Symbol: NEON 3Q00A 4Q00E FY00E FY01E
Recent Price: $7 1.4 EPS $0.08 $0.10 $0.28 $0.52
Rating: BUY Prev. EPS $0.08 $0.10 $0.28 $0.52
Shares Outstanding: 35.9 million
Market Cap: $264 million
Fiscal Year Ends: December
NEW ERA OF NETWORKS: UPDATE
Much of the recent criticism leveled at New Era of Networks (NEON) has been
focused on the 3Q00 concurrent transactions. In an effort to better understand
the strategic importance of these relationships we explored each on its own
merit. In the following paragraphs, we summarize the results of our
investigations of the companies in which NEON made a small equity investment,
or with whom it partnered. This information was acquired through a combination
of publicly available literature, direct conversations with the companies,
and/or conversations with people familiar with the investments.
Netfish Technologies: Partner
Netfish Technologies' suite of products and solutions help companies automate
complex business processes by integrating partner's supply chains. Netfish's
products support all the major business-to-business (B2B) industry standards
including Java and XML, and thus ensure interoperability between partners.
In our opinion, the NEON/Netfish OEM agreement promises to be one of the most
significant collaborations for both companies. To Netfish, NEON represents
valuable enterprise application integration (EAI) expertise with its e-Biz
integration software and adapter library. Netfish's B2B e-commerce solution,
XDI, provides NEON with B2B integration capabilities that it has been perceived
to lack. The combined NEON/Netfish product will help both companies to
effectively compete against other B2B integration companies such as webMethods
and TIBCO.
eCALYX: Partner
eCALYX offers solutions for integrating information systems and centralizing
access to business information through an enterprise portal. eCALYX's
capabilities range from portal/web storefront development to integration with
backend systems and applications.
From a partnership perspective, eCALYX and NEON have much to gain from one
another. eCALYX gains NEON's enterprise application integration (EAI)
expertise, while NEON benefits from eCALYX's experience in Oracle application
implementations. With eCALYX's help, NEON built adapters to connect to Oracle
applications, thus further broadening its adapter library. We believe that
this partnership could result in a notable customer win within a short time,
and thus quiet the criticisms leveled at NEON for entering into this agreement.
Ignore this User | Report Abuse
Re: NEON NEWS: pt II (going up)
by: techwiz77 (37/M/Flushing, NY)
12/12/00 10:08 am
Msg: 31934 of 32104
Mobilize: Equity Investment
Mobilize provides pre-packaged mobile application services and platforms to
companies that are seeking to capitalize on the promise of m-commerce. While
m-commerce is still a relatively young industry, the possibility of providing
access to data, documents, business logic and applications that normally reside
within an enterprise's system has led many companies to sign on with Mobilize.
Mobilize's goal of providing access to information that normally resides within
an enterprise, clearly points to a need for an integration server. It is our
understanding that the need for an integration server led to Mobilize's
decision to choose NEON, and was independent of NEON's participation in a
recent round of financing.
B2B-ERP: Equity Investment
B2B-ERP focuses on bridging the B2B e-Commerce needs of a company with existing
ERP systems. They seek to avoid high integration costs by using established
integration products such as NEON's e-Biz Integrator and adapter libraries.
B2B-ERP selected NEON's products because of NEON's deep domain experience with
SAP.
MedWired: Equity Investment
MedWired provides a portal solution for physicians and patients. This
personalized portal serves as a centralized location where physicians and
patients can securely exchange and share pertinent information. NEON's
MedPortal product was selected from a list of several other vendors because of
its modular and object oriented approach, thus allowing MedWired to use its own
site management tools.
tapX: Equity Investment
tapX seeks to facilitate B2B e-commerce by providing buyers, suppliers, and
their banks with an assured payment exchange solution. tapX's solution will
provide a web-enabled straight through processing solution that seeks to
minimize the costs incurred when a company lacks complete integration of its
supply chain. NEON's integration products and experience in straight through
processing address several of the problems that arise out of "back-office
disconnects" during e-procurement.
As we surveyed the NEON customers mentioned in this report, it became apparent
that each of them had a defensible business reason for the purchase of NEON
products. We believe the product purchases would have occurred independent of
equity investments by NEON.
In light of our findings, we believe that the contentions being made with
regard to "quality of revenues" will be squelched over the next several
quarters. We believe that these investments and partnerships could provide
strategic validation as early as 4Q00, in the form of additional customer wins,
and recognition for having an end-to-end integration solution that includes
B2Bi capabilities. We believe that the valuation gap that exists between NEON
and its peers will narrow as the Company regains investor confidence by
delivering strong financial quarterly performance, and adding valuable
partnership and reselling agreements.
Therefore, we believe that at present levels, NEON's shares are undervalued and
represent an opportunity for significant price appreciation.
*Moors & Cabot makes a market in common shares of New Era of Networks |
