For the record, here's a copy and a link to Yahoo Finance News:
biz.yahoo.com
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Friday June 26, 9:47 am Eastern Time
Company Press Release
SOURCE: BancAmerica Robertson Stephens
BancAmerica Robertson Stephens Initiates Coverage on Comverse
Technology With a Buy Rating
SAN FRANCISCO, June 26 /PRNewswire/ -- BancAmerica Robertson Stephens research analyst Victor Halpert initiated
coverage today on Comverse Technology (Nasdaq: CMVT - news) with a Buy rating. Comverse is a leading provider of
enhanced service platform products for the telecommunications industry. The company's products are used for multimedia
communications and information processing.
In January 1998, Boston Technology, Inc. merged with and into Comverse, creating a market-share leader in the provision of
large capacity enhanced service platforms (ESPs). The company controls more than 40% of the ESP market. Growth of
wireless networks and deregulation of wireline telcos are expected to drive the ESP market by 30% annually for the
foreseeable future.
Comverse's two major ESP products -- TRILOGUE and Access NP -- are considered to be the leading systems in this fast
growing market. Comverse also has marketing and distribution power, supplying 13 out of the 20 largest networks.
Halpert believes the company's current valuation is compelling. Stock is trading at 24 times fiscal year 1998 EPS and 20 times
1999 EPS. ''With the merger, Comverse became a core holding in the telecom equipment sector,'' Halpert said. ''Comverse's
core activity, the CNS division, will probably continue to benefit from expanding demand from wireline and wireless telephone
networks worldwide as increased competition prompts service providers to deploy new revenue generating enhanced
services.''
He introduced 1998 and 1999 EPS estimates of $2.17 and $2.61, respectively. His 12-month target price is $65 per share.
BancAmerica Robertson Stephens is a leading international investment banking firm focused on emerging growth companies.
The firm's 50 senior research analysts cover over 575 companies.
The information contained herein is not a complete analysis of every material fact respecting any company, industry or security.
Although opinions and estimates expressed herein reflect the current judgment of the Firm, the information upon which such
opinions and estimates are based is not necessarily updated on a regular basis, when they are, the date of the change in
estimate will be noted. In addition, opinions and estimates are subject to change without notice. This Report contains
forward-looking statements, which involve risks and uncertainties. The Company's actual results may differ significantly from
the results described in the forward-looking statements. Factors that might cause such a difference include, but are not limited
to, those discussed in ''Investment Risks.'' BancAmerica Robertson Stephens from time to time performs corporate finance
services for some companies described herein and may occasionally possess material, nonpublic information regarding such
companies. This information is not used in the preparation of the opinions and estimates herein. Facts and other information
discussed have been obtained from sources considered reliable but are not guaranteed. BancAmerica Robertson Stephens, its
managing directors, its affiliates, and/or its employees may have an interest in the securities of the issue(s) described and may
make purchases or sales while this report is in circulation. BA Robertson Stephens International Limited is regulated by the
Securities and Futures Authority in the United Kingdom. This publication is not meant for private customers. The securities
discussed herein are not FDIC insured, are not deposits or other obligations or guarantees of Bank of America NTSA, and are
subject to investment risk, including possible loss of any principal amount invested.
SOURCE: BancAmerica Robertson Stephens |
