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Technology Stocks : Novell (NOVL) dirt cheap, good buy?

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To: Roger Lagerquist who wrote (21361)3/23/1998 11:32:00 AM
From: Jim McCormack  Read Replies (1) of 42771
 
Hype 5.0 too much and 4.x and 3.x Sales will Plunge

Novell is going to shoot themselves in the foot. The April and July numbers will be a disaster if they pitch 5.0 too strong. You can go from 3.X to 5.X so what are you going to do.... Wait for 5.X.

Sales of 4.x will no longer be flat they will decline the next two quarters and 3.x will continue to fall.

I see losses for the next two quarters.... The NDS promotion, the Education initiative are all moves to boost sagging revenues - look out.....

The management is looking for the later half of 1998 for a rebound - This theme is being replayed by all senior Novell management and it is a clear signal that until July things look very dicey.

Jim
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