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Technology Stocks : Cascade Communications (CSCC)

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To: up3up4 who wrote (1735)1/23/1997 4:54:00 PM
From: Warren Gates   of 3743
 
Bought Feb 60 puts too ...

Cascade now has to contend with slowing growth ... sequential growth is slowing to an annualized rate of 60% ... I remember very well what happened to USRX when they announced earnings last year and
declared that they will be comfortable with 15% quarter to quarter growth ... stock got clobbered and PE shrunk to a low of 25.

Cascade's fair value is probably closer to 50 at this point
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