Ascend Communications (ASND) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Ascend Communications (ASND)

ASND 208.98

-1.8%

Dec 26 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: PETER COSTES who wrote (9076)	8/18/1997 8:33:00 AM
From: Jacob S. Rosenberg	of 61433

It is good you said that you are using technical analysis. Not fundamental analysis. There was a rather nasty remark concerning Ascend's $0.02 per share earnings for July in the latest isssue of Barron's. Barron's doesn't dominate people's thinking as it used to because of competition from other publications. Nevertheless, the July number, taken from the company's 8-K report, was painful. Here is what I think will happen. The company will crap out for the quarter exactly as it says in Baron's and and other publications BUT the stock will go UP as it always does before bad earnings are announced. There is some disagreement about this. A Standard & Poors report says it fully expects Ascend to make up the shortfall because its sales are backend loaded for the quarter to a large extent. It is important to quantify this. They say 50 - 60 percent of the profits are made in September. That means that say, 20 percent of the profits are made in July. Let's say, for the sake of argument, that it is just 10 percent! Even under this scenario, the total earnings for the quarter will be just 20 cents. This does not meet the estimate of about 36 cents. Jacob Rosenberg

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next