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Technology Stocks : Dialogic ready to soar, funds buying

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To: Larry Tomblin who wrote (214)3/10/1997 8:32:00 PM
From: Jay M. Harris   of 674
 
Lets look at fundamentals.. $35 per share/$1.56 cal 97 eps =
22.43X p/e on forward calendar eps. Now $1.56/$1.26 in cal 96 eps =
23% YOY growth. Well 23X p/e for 23% growth. Seems like the street
is doing a fair job of pricing the company. That is unless you know
what we on the DLGC board know. (i.e. That the computer industry is
$125 billion in revenue per year & the telephone industry is $125
billion in revenue per year) Now assume a global Co in New Jersey
figures out a way to converge(connect)the two industries together
with seemless and ubiquitous functionality. What do you Have? Vision!
What is it worth? More that 23X cal 97 eps. Be patient. Good things
come to those who wait.

Also, fortunes are not made in the stock market over night.
They are won over years of battle. This is fundamental. This is
NOT TECHNICAL. However, the company which captures your attention
and probably your hard earned capital is a technology company.
Consequently, the "techno-babble" that has occupied the board of
late is germane to our knowledge of the battle ahead. It is vital
that the techno-heads contribute. Their work combined with the
valuation work below make for a VERY informed board...

Look for a $60. stock by 7/98 or 30X cal 98 eps of $2.00

I am long Dialogic.. Happy Investing..
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