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Technology Stocks : Ascend Communications (ASND)
ASND 203.20+1.1%3:07 PM EST

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To: sea_biscuit who wrote (21598)11/6/1997 6:13:00 PM
From: Maverick  Read Replies (2) of 61433
 
Price of Silence & Irrational Pessimism
ASND has paid a dear price for being silent during 9703 turning nvestors' sentiment into "irrational pessimism".
www4.techstocks.com
www4.techstocks.com

The forward PE now is 24.75 / 1.15 (First Call's FY98 consensus) =
21.5

PEG = 21.5 / 38 (First Call's 5-yr median growth rate) = 0.57
which means ASND is now trading at 57 % of its 5-yr growth rate, a very undervalue situation.

CSCO's rev. for the 9801 is $1,869 MM, a seq. increase of 5.9% over 9704 of $1765.1 MM. CSCO is accorded with a much higher trailing and forward PE than ASND for its good corporate citizen image and it's hard to grow seq. at 5.9% at CSCO's size.
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