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Technology Stocks : Ross Technology? Let's talk!
RTEC 28.50-0.5%Oct 25 5:00 PM EST

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To: JakeStraw who wrote (58)5/23/1996 2:59:00 PM
From: Mark Oliver   of 475
 
Yes and no. Future can be bright, but probably won't show such high earnings growth as last quarter was helped by tax losses carried forward. If you want the profits, you have to pay taxes.

Still, they moved into a new production facility during this same period, which would seem to have reduced earnings. Sales and marketing expenses are going up as they target upgrades to existing workstations with faster processors. This seems to be very cost effective to the customer because it's cheap and they don't have to relicense expensive software. Sun seems to have given Ross this whole market around the SPARC V8's so they can focus on other projects.

In the next year or 2, things should go well, and in the mean time, we will have to watch for the next strategy. The Pentium Pro will be strong competition.

I'm still researching this company. I'll let you know more as I get it. In the mean time, hold on and see what develops.

Mark
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