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Technology Stocks : Equinox Systems (EQNX)

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To: Capitalizer who wrote (216)12/15/1997 1:30:00 AM
From: HeyRainier  Read Replies (1) of 765
 
If people are going to be estimating $0.35 and/or $0.39, perhaps there might be some disappointment lying the wait. Analysts who closely cover this stock are projecting $0.30, subject of course to earnings surprise, which is a more favorable outcome than the opposite.

Based on the projected growth for the next five quarters for EQNX, the fundamental picture would suggest a fair value of approximately $25, above my previous $19 target (which it briefly touched before declining). However, there are some conflicting signals, in particular the technical picture as it relates to the stock's strength. It could just be a short term reaction though, and could provide another window of opportunity to expand on current positions--but rather than be bullish, I would be extremely cautious under current conditions.

Regards,

Rainier
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