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Technology Stocks : TLAB info? -- Ignore unavailable to you. Want to Upgrade?

To: Ian@SI who wrote (5853)	7/8/1999 4:20:00 PM
From: Chuzzlewit	Respond to of 7342

Remember that a number of analysts had set $70 for a price target. Barring changes in earnings estimates I expect similar downgrades for the time being. But as analysts become more comfortable with the prospects for increasing earnings I think we will see upgrades after earnings are announced (following the conference call). TTFN, CTC

To: Ian@SI who wrote (5853)	7/8/1999 11:12:00 PM
From: Ian@SI	Read Replies (2) \| Respond to of 7342

From SSB... ++++++++++ TELLABS (TLAB,1-M,$71 7/8) RESULTS DUE WEEK OF JULY 19 * EPS should be at least our consensus estimate of $0.30. * Revenue should be close to $523 mn vs $387.7 mn last year * Strength driven by sales of the Titan 5500 to new carriers as well as incumbent US-based carriers under pressure from both increased bandwidth demands and competition from: wireless operatorss, competitive local exchange carriers, ISPs and cable companies. * Martis DXX sales robust but revenue penalized by strong US Dollar vs Euro * Gross Operating margin ests are 59.3% & 32.6%, respectively * Focus remains on Titan outlook & the launch of new products later this year We estimate 2Q99 EPS should be $0.30 up 32% from $0.23 a year ago. This compares to consensus of $0.30. Revenue, in our opinion, should be $523 million up 35% from $387.7 million a year ago. We believe that Martis revenues will be less than expected in 2Q99 due to the declining Euro relative to the US dollar. However, the company's TITAN business is booming and we believe it will more than offset the lower Martis revenues. We believe that revenue will be at the high end of consensus and if attained, Tellabs' EPS should beat our $0.30 estimate for the quarter. Our gross margin estimate is for 59.3% vs. 58.3% a year ago while operating margin is expected to be 32.6% vs. 32.0% a year ago.