Just bought CSCO yesterday 68 1/8....Happy "KID" but negative comments from Briefing.COM...
Any suggestions!!!CSCO will be up or Down tomorrow..
Thanks,
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Briefing: Which stocks are you recommending and/or avoiding?
Peter Lieu: We just took Shiva (SHVA) off the Buy list because of the Northern Telecom(NT)/Aptis acquisition. We were looking for Shiva's relationship with NT to improve, but the acquisition places any improvements in jeopardy. We do not think that Bay will be the only networker to disappointment in earnings and because the market tends to overreact to bad news creating buying opportunities, we are waiting for those buying opportunities.
Christin Armacost: The four companies I cover include Shiva, 3Com, Cisco, and Ascend. Of the four, Ascend (ASND) is the only stock on which a BUY rating has been issued. I believe the company has weathered the worst of its product and earnings troubles. They have made good changes internally with management and with their product transition problems. As such, I feel they have re-positioned themselves to regain market share lost in the second half of 1997.
3Com (COMS) is rated NEUTRAL, because I think its earnings estimates are too high, and its inventory transition efforts will take a lot longer than most analysts are expecting. Shiva (SHVA) is also at a NEUTRAL rating. While its business strategy is improving, it is still too early to call it a success. Finally, I have a NEUTRAL rating on Cisco (CSCO) based on valuation, and the fact that widespread product transition and pricing pressure in the industry is just too great to overlook-- even for one of the best managed companies in the industry. |
