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Technology Stocks : Excel Communications

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To: Joe Jackson who wrote (2268)10/13/1997 1:32:00 PM
From: Rob S.   of 2806
 
That's the second upgrade from Eric. A few weeks ago he moved it from hold to attractive and now from attractive to buy. This is good news and also shows how cautious the investment community is toward Excel. That is good for investors because there is a lot of room for institutional investors to warm up to ECI and create increased purchasing pressure which should help to move up the stock toward analysts targets (36-38).

My 12 month target for Excel is 38 if the scenario stays much the same and 43 if sales prove to be accelerating and a few developments, such as new business and international telecom programs turn out to be real killers. I think the posibility for considerable upside surprise is very high (60%-80%) and the downside risk at this point is pretty well limited to a general severe overal market correction (10%-15%) IMO.

I think Kenny T. is about jumping out of his skin with the opportunities to come out with exciting new programs for the business and international markets. The local access market will depend on how much balls Congress has to look after the best interests of the nations economy and citizens rahter than the entrenched LEC telcos. I can just see the money rolling into the campaign coffers and lavish banquets and information gathering trips to Tahiti. Gee it must be nice to be a self serving congressman. That may be an exageration, but the fact that something that is so clearly in the public interest is so mired in red tape and monopolistic squandering is very, very clear.
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