Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Lucent Technologies (LU) -- Ignore unavailable to you. Want to Upgrade?

To: Techplayer who wrote (9333)	8/29/1999 10:24:00 AM
From: The Phoenix	Read Replies (1) \| Respond to of 21876

I don't agree that the Cerent product is "old world". It serves new world problems and use a combination of old and new world technologies to do it. Point and fact, if it's old world why did they start a company to develop it - answer - no one else had it. ANd, why will NT and LU be announcing their own.. because it's new - by definition. Finally, Cerent, according to the release has $10M in sales, with projections of finishing the year at $300M - amazing growth. And again according to the articles they have 100 customers. So, my guess is that at $300M sales that would be south of 30 times revenues - still steep but not as bad as 670 times reveunes. I think Cerent and Monterrey will turn out to do good things for Cisco. JMO OG

To: Techplayer who wrote (9333)	8/29/1999 12:54:00 PM
From: Zoltan!	Respond to of 21876

>>Cerent seems to be a very expensive purchase at this time if in fact LU and NT will be announcing similar products and already have the customers. .... "This was the biggest week for these Red Hots because Cisco the Great blessed the valuations. Rather than wait for Cerent, which would have been the next great Red Hot to come public, Cisco (CSCO:Nasdaq) scooped it up for about $7 billion in stock. Mind you, had Cerent come public, it would have had that same stupid charade all of the underwriters put us through, that torture where it opens a gazillion points higher than where it was priced and then keeps going up and up and up and up. If Cisco the Great had waited until Cerent had come public to buy it, I bet it would have had to pay twice as much. That's one of the reasons that Cisco the Great didn't go down after it paid what it did. It "stole" it before the momentum funds could take it to some level where it could never be bought. Shrewd move, King John!)".... - COMMENTARY >> WRONG! TAKE TWO Cramer's Rewrite of His 'Red Hots Are Candy' Piece By James J. Cramer 8/28/99 1:28 AM ET thestreet.com