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Technology Stocks : CLST - CellStar Corporation
CLST 15.040.0%Nov 25 3:59 PM EST

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To: 4-UR-Eyes-Only who wrote (117)11/26/1997 4:01:00 PM
From: HVN  Read Replies (1) of 641
 
4-UR-Eyes - I think I'd agree more with Mr. Pink. Even though Al Goldberg has been drawing pretty good management talent from Motorola, all he's been doing is dangling stock options in front of them. The company is averagely to poorly run. However, what's going to hurt them big time is:

1. Asia is in a bad state - as you mention
2. Latin America is not much better
3. A number of the US carriers have been working hard at either setting up other distributors or setting up their own distribution.

Just becuase digital phones are more expensive, and/or digital is being pushed heavily, it doesn't mean that the carriers want to spend as much as they have in the past to acquire digital customers. Also, since digital phones are far more expenisve that analog ones, the margins there will be rather slim. So, I think CLST is going to take a pounding when the financials are announced.
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