THE TRADER -- Barrons
-- Eric J. Savitz
See today's Barrons
barrons.com
That Old Queasy Feeling. The Dow loses 57.34 in a week of heebie-jeebies. Cherry-picking tech stocks. C-Cube besieged.
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"Like a number of other managers, Wick (Paul Wick, head man at the $3.6 billion Seligman Communications & Information fund) has begun taking a second look at the beaten-down networking stocks. He recently bought back into U.S. Robotics, for instance, on the theory that the company has cleared up a lot of the issues surrounding its new X2 modems. (Last week, the company came under renewed fire over new delays in shipping the hotly anticipated modems.) ``We're also taking a hard look at Ascend,'' Wick adds, ``and we've become interested in Fore Systems again.''
Paul Meeks, director of research at Oakland-based Jurika & Voyles, has been rummaging for networking bargains, as well. He, too, considers U.S. Robotics to be ``a wonderful opportunity.'' While the company's modem business gets most of the attention, Meeks points out that Robotics gets about 20% of revenues from it networking systems business. It's a business about the same size as Ascend, a key rival. Put the same value on U.S. Robotics' systems business that the market gives Ascend, he says and you'd get the company's huge modem business for free."
Some buying interest?
Craig Anderson |
