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Technology Stocks : PairGain Technologies

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To: Philip W. Dunton, Jr who wrote (27787)1/1/1999 4:10:00 PM
From: william blair  Read Replies (2) of 36349
 
The risk in this stock is proportional to how quickly the telephone companies respond to high speed digital service for their residential customers. Pair is a high quality certified provider with great engineering. As another poster said they have cash on hand. Their latest earnings problems were caused by loss of contract for HDSL at Bell Atlantic. This loss to Adtran also caused Adtran problems in their earnings outlook as they apparently priced their product too low. When ADSL is offered at a competitive rate with cable modems, all the suppliers will benefit. The recent decision by compuuter manufacturers to package high speed modems using ADSL technology will hasten ADSL development. When this happens, look for Pair, WSTL, and others to benefit as AWRE has done lately.
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