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Technology Stocks : Genesys Telecommunications (GCTI)

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To: tuck who wrote (184)4/13/1999 3:38:00 PM
From: Jay Nitschke  Read Replies (1) of 220
 
I'm not sure that whisper numbers are what is at work here. Every quarter the stock rises around the earnings announcement, as a few more people are convinced that this company is maintaining its high growth. Then the stock tanks for two months.

Last quarter's earnings before special charges was 17 cents. If you conservatively figure that earnings for 4 quarters would be 70 cents, the P/E right now is 22, very low for a company that is growing so fast.

IMHO, the longs will be richly rewarded in the next year, as growth continues, and the market eventually becomes a believer.

Good luck, Jay
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