Ascend Shares Rise Amid Optimism for Strong 2nd-Qtr Earnings
Alameda, California, July 10 (Bloomberg) -- Ascend Communications Inc. shares rose as much as 5.3 percent amid optimism that the computer-networking company will meet or beat analysts' expectations for second-quarter earnings.
Ascend, which is scheduled to report results Tuesday, rose 2 3/8 to 53 1/4 in late trading of 4.88 million. Earlier, the shares touched 53 9/16.
Alameda, California-based Ascend sells equipment that lets phone companies and Internet providers transfer incoming calls onto the global computer network. As telecommunications providers expand their networks to handle growing Internet traffic, they are buying more of Ascend's switches that use asynchronous transfer mode, or ATM, technology to route data communications.
They have the strongest ATM product line by far right now,'' said Michael Davies, an analyst at Punk, Ziegel & Co. who rates Ascend ''buy.''
Ascend is expected to earn 28 cents a share for the quarter ended in June, according to First Call Corp.
15:47:04 07/10/1998
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