Well, Jubak disagrees with you. Not to worry, though. As Cramer has written, Jubak (ex-Worth mag guy now bought and sold by Microsoft) just always seems wrong and never made him any money with his "ideas." The overwhelming consensus is that ASND made a nice deal to get SRA and its $11/sh cash, keep 400 prime employees and Sachs, and divest the rest. SRA will be easily integrated into the former Cascade operations without undue distraction by ASND management. Jubak once again steps in it like his ride of IFMX from $20 down to $4. What a dweeb...
investor.msn.com
Changes to Jubak's Picks
Drop Ascend
I hate it when a company's management
mucks up a perfectly good stock. Here
was Ascend (ASND), the best pure play
in the hottest technology (ATM) for
building combined voice/data networks.
Not only were sales cooking, but
persistent rumors -- Ascend would be
acquired by Nortel (NT), Lucent (LU),
whoever -- kept pushing up the stock too.
Then management ruined it all by
deciding to acquire Stratus Computer
(SRA). Now, I understand that Stratus
owns a great piece of technology -- a SS7
switch that's a key piece in the new
voice/data network. But the deal still
makes no sense to me as an investor.
Ascend says that it will sell off all the rest
of Stratus -- almost all of the company, in
fact. The management at Ascend has a
tradition of taking its eye off the ball and I
just think this is too much of a
distraction. I'm dropping Ascend from
Jubak's picks with a 13% gain since I
recommended the stock on Sept, 2,
1997, at $40.875 ("Bargains or
Blunders"). |
