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Strategies & Market Trends : The Thread Formerly Known as No Rest For The Wicked -- Ignore unavailable to you. Want to Upgrade?

To: R.E.B. who wrote (61752)	9/22/1999 10:49:00 AM
From: R.E.B.	Respond to of 90042

I just talked to my buddy at M.H. Meyerson & Co. about CS. He said that the stock sold off for three reasons: 1) The replacement of the compaq 300 million guaranteed deal with a "referral" system is seen as a negative because at least for 2 quarters the sales will be flat to down. 2) The revenues were down from the year-ago period even though they exceeded expectations. Revenue were down about 20 million. Also much of the earnings per share can be attributed to the 5 million or so gain on investments. The company needs to convince the street that it is growing (revenue and earnings). The stock is poised to move on news that show signs of growth. The institutional money flow is positive. 3) The market sell-off yesterday did not help CS. The fact that we're headed up today is a good sign, especially in the mixed market we have now. I did not ask him to comment on any speculation in the stock such as a buyout. I only asked for comments from a fundamental standpoint.